Pak-Qatar General Takaful Limited has reported a notable improvement in its financial performance for the six months ended June 30, 2026, with profit after taxation attributable to shareholders rising to Rs69.81 million, compared with Rs53.76 million in the corresponding period of 2025.

The company disclosed its financial results to the Pakistan Stock Exchange on August 28, 2026, following a meeting of its Board of Directors. The financial statements are unaudited.

Profit rises by nearly 30%

According to the half-year profit and loss statement, Pak-Qatar General Takaful posted profit after taxation of Rs69.81 million during the first six months of 2026, up from Rs53.76 million a year earlier.

Profit before taxation for the shareholders’ fund stood at Rs98.33 million, compared with Rs76.44 million in the same period last year. The company recorded taxation of Rs28.52 million during the period.

The improvement in profitability was supported by higher income across the company’s shareholders’ fund and participants’ takaful fund.

Takaful business shows healthy growth

The Participants’ Takaful Fund (PTF) recorded contributions of Rs451.37 million during the six-month period, compared with Rs365.17 million in the corresponding period of 2025.

After contributions ceded to retakaful, net contribution revenue reached Rs245.96 million, compared with Rs182.84 million last year. Net underwriting income, including retakaful rebate earned, increased to Rs293.68 million from Rs227.86 million.

The PTF generated a surplus of Rs9.82 million during the period, slightly lower than the Rs10.77 million surplus recorded in the first half of 2025.

Shareholders’ fund maintains positive momentum

The shareholders’ fund also delivered stronger results. Wakala fee income increased to Rs309.91 million in the six months ended June 30, 2026, from Rs268.10 million in the corresponding period last year.

Investment income stood at Rs68.17 million, compared with Rs58.83 million a year earlier. After accounting for expenses, Modarib’s share from the PTF and other income, profit before taxation of the shareholders’ fund reached Rs98.33 million, compared with Rs76.44 million in 2025.

Comprehensive income also improves

Pak-Qatar General Takaful’s total comprehensive income attributable to shareholders stood at Rs71.01 million for the six-month period, compared with Rs41.95 million in the same period last year.

The improvement reflected both the higher profit after taxation and a positive contribution from other comprehensive income. The company recorded a gain of Rs1.20 million in other comprehensive income during the period, compared with a loss of Rs11.80 million in the corresponding period of 2025.

Equity base expands following IPO

The statement of changes in shareholders’ equity shows that the company’s issued and subscribed capital increased from Rs711.07 million at January 1, 2026, to Rs1.011 billion at June 30, 2026.

The increase followed the issuance of shares through an IPO, with Rs300 million recorded as issued capital and Rs120 million as share premium, while a transaction cost of approximately Rs31.30 million was recognized.

Despite the increase in total earnings, earnings per share declined to Rs0.75 from Rs0.88 a year earlier, largely reflecting the larger share capital following the IPO.

Assets and cash position

The company’s shareholders’ fund reported total assets of approximately Rs1.74 billion as of June 30, 2026, compared with Rs1.36 billion at December 31, 2025.

Cash and bank balances under the shareholders’ fund stood at Rs238.29 million at the end of June, while the Participants’ Takaful Fund held approximately Rs137.61 million in cash and bank balances.

No dividend announced

Despite the improvement in profitability, the Board of Directors recommended no cash dividend, bonus shares or right shares for the period under review. The company also reported no other price-sensitive information in its filing.

Outlook

The first-half results point to stronger contribution growth, improved underwriting income and higher shareholder profitability for Pak-Qatar General Takaful. The expansion in its equity base following the IPO also strengthens the company’s capital position, while the rise in comprehensive income provides another positive indicator of its financial performance.

With the results covering only the first six months of 2026 and remaining unaudited, the company’s full-year performance will depend on how contribution growth, claims, investment returns and operating expenses develop during the second half of the year.