Amreli Steels Posts Rs547.9 Million Profit in FY2026 After Major Turnaround
KARACHI — September 16, 2026: Amreli Steels Limited has reported a significant improvement in its financial performance for the year ended June 30, 2026, moving back into profitability after posting a substantial loss in the previous financial year.
According to the company’s financial results submitted to the Pakistan Stock Exchange, Amreli Steels recorded profit after taxation of Rs547.9 million during FY2026, compared with a loss of Rs3.81 billion in FY2025. Earnings per share also improved to Rs1.69, from a loss per share of Rs12.83 a year earlier.
Strong Growth in Sales
The company’s net sales increased to Rs21.34 billion in FY2026 from Rs16.08 billion in the previous year. This represents growth of around 33%, reflecting a stronger revenue performance during the year.
Gross profit also improved sharply, reaching Rs1.34 billion, compared with only Rs76 million in FY2025. However, distribution and administrative expenses remained significant at Rs672 million and Rs852 million, respectively.
Operating Performance Shows Improvement
Amreli Steels reported an operating loss of approximately Rs567 million for FY2026, an improvement from the Rs1.06 billion operating loss recorded in FY2025.
A major factor supporting the bottom line was a Rs3.11 billion gain on restructuring of long-term financing. Finance costs also declined substantially to approximately Rs2.50 billion, compared with Rs4.10 billion in the preceding year.
After accounting for the restructuring gain, taxation and other items, the company reported a profit before tax of approximately Rs42.8 million and a profit after tax of Rs547.9 million.
Comprehensive Income Turns Positive
The company also reported a significant improvement in comprehensive income.
Total comprehensive income stood at Rs687.8 million for FY2026, compared with a comprehensive loss of approximately Rs3.78 billion in FY2025. The improvement included a Rs195.9 million change in deferred tax relating to surplus on revaluation and an actuarial loss of Rs56 million, net of tax.
Balance Sheet Position
Amreli Steels’ total assets stood at approximately Rs40.79 billion as of June 30, 2026, compared with Rs43.36 billion a year earlier.
The company’s issued, subscribed and paid-up capital increased to Rs3.37 billion, from Rs2.97 billion, while share premium increased to approximately Rs3.39 billion. The company also reported a reduction in accumulated losses, with the accumulated loss position improving from Rs4.22 billion at June 30, 2025 to approximately Rs3.40 billion at June 30, 2026.
Cash Flow Remains an Area to Watch
Despite returning to profitability, the company’s cash flow statement shows pressure on operating cash generation. Amreli Steels reported net cash used in operating activities of Rs2.53 billion during FY2026, compared with net cash generated from operations of Rs2.66 billion in FY2025.
Investing activities generated net cash of approximately Rs433.9 million, mainly supported by proceeds from the disposal of assets. Financing activities generated approximately Rs1.04 billion, including proceeds from issuance of shares and other financing sources.
Cash and cash equivalents stood at approximately Rs163.9 million at June 30, 2026, compared with Rs1.23 billion at the end of FY2025.
No Dividend Announced
The company’s board, at its meeting held on September 15, 2026, recommended no cash dividend, bonus shares or right shares for the year ended June 30, 2026. No other entitlement or price-sensitive corporate action was announced in the filing.
Annual General Meeting Set for October 27
Amreli Steels has scheduled its Annual General Meeting for October 27, 2026, in Karachi.
The company’s share transfer books will remain closed from October 19 to October 27, 2026, with both days inclusive. The company said its annual report would be transmitted through PUCARS at least 21 days before the AGM and would also be made available on its website.
A Notable Financial Turnaround
Amreli Steels’ FY2026 results mark a notable change from the previous year’s financial position. Higher sales, a substantial improvement in gross profit, lower finance costs and the gain from restructuring of long-term financing collectively helped the company move from a multi-billion-rupee loss to profitability.
At the same time, the negative operating cash flow and lower year-end cash balance remain important elements of the company’s financial picture. The FY2026 results therefore show both a significant improvement in reported profitability and areas that will remain relevant for investors as the company moves into the new financial year.
