Tri-Pack Films Posts Rs40.6 Million Profit in First Quarter of 2026
Tri-Pack Films Limited has made a notable turnaround in its financial performance, reporting a profit after tax of Rs40.64 million for the quarter ended March 31, 2026, compared with a loss of Rs20.87 million in the same period last year.
According to the company’s unaudited financial results approved by its Board of Directors on April 17, 2026, the improvement was supported by higher revenue, stronger gross margins and a significant rise in operating profit.
Revenue rises nearly 10%
Tri-Pack Films recorded revenue of Rs8.55 billion during the quarter, up from Rs7.81 billion in the corresponding quarter of 2025. This represents an increase of roughly 9.4%, indicating stronger sales during the period.
At the same time, gross profit climbed to Rs1.47 billion, compared with Rs1.06 billion a year earlier. The improvement of around 39% suggests that the company achieved better profitability at the gross-profit level despite an increase in its cost of sales.
Operating profit jumps 61%
The company’s operating performance showed an even stronger improvement. Operating profit increased to Rs862.73 million, compared with Rs536.77 million in the first quarter of 2025.
Distribution costs rose to Rs366.75 million, while administrative expenses increased to Rs241.80 million. However, the growth in gross profit more than offset these expenses, allowing operating profit to rise by approximately 61% year-on-year.
Other income stood at Rs63.52 million, while other expenses amounted to Rs17.94 million during the quarter.
Lower finance costs support bottom line
Finance costs remained a major expense for Tri-Pack Films, but they declined from Rs707.40 million in the first quarter of 2025 to Rs605.98 million in the latest quarter.
The reduction of more than Rs101 million provided additional support to the company’s bottom line. Profit before income tax and levies reached Rs302.33 million, compared with a loss of Rs92.20 million a year earlier. After levies and income tax, the company reported a final profit of Rs40.64 million.
Earnings per share turn positive
The improved earnings were also reflected in per-share performance. Tri-Pack Films reported basic and diluted earnings per share of Rs1.05, reversing from a loss per share of Rs0.54 in the corresponding quarter of 2025.
The turnaround also lifted unappropriated profit, which stood at Rs1.82 billion as of March 31, 2026, compared with Rs1.78 billion at the end of December 2025. Total equity increased to Rs4.81 billion from Rs4.77 billion.
Debt and cash position remain important areas to watch
Tri-Pack Films continued to carry significant borrowings. Long-term borrowings stood at Rs11.07 billion, while short-term borrowings amounted to Rs4.77 billion at the end of March 2026.
The company nevertheless reduced short-term borrowings from Rs5.98 billion at the end of 2025. Total liabilities also declined from Rs28.68 billion to Rs26.70 billion over the same period.
Cash flow from operations remained positive at Rs1.89 billion, although this was lower than the Rs2.50 billion generated during the first quarter of 2025. The company spent Rs336.75 million on property, plant and equipment during the quarter.
No dividend announced
Despite returning to profitability, the company announced no cash dividend, bonus shares or right shares for the quarter ended March 31, 2026. The Board also reported no other corporate action or price-sensitive information.
Overall, Tri-Pack Films’ first-quarter results point to a meaningful improvement in business performance. Higher revenue, a substantial expansion in gross profit, stronger operating earnings and lower finance costs helped the company move back into the black. Investors, however, may continue to watch the company’s borrowing levels, finance costs and cash generation closely as it works to sustain the recovery through the remainder of 2026.
