Ghani Dairies Delivers Strong Financial Performance in FY2026

Ghani Dairies Limited has reported a strong financial performance for the year ended June 30, 2026, with significant growth in revenue, operating profit and net earnings. The company’s latest financial statements show that the dairy business continued to expand while its financial position strengthened considerably during the year. 283759

According to the company’s statement of profit or loss, revenue from contracts with customers increased to Rs2.19 billion in FY2026, compared with Rs1.78 billion in FY2025. This represents growth of approximately 23%, highlighting a solid improvement in the company’s top-line performance. 283759

Profitability Shows Strong Improvement

The company’s profitability also improved substantially. Ghani Dairies recorded a gross profit of Rs822.32 million, up from approximately Rs619.99 million a year earlier. Operating profit increased to Rs757.30 million, compared with Rs567.73 million in FY2025.

The improvement became even more visible at the bottom line. Net profit for the year reached Rs697.68 million, compared with Rs444.15 million in the previous financial year. This translates into an increase of around 57% year-on-year.

Earnings per share also improved, rising from Rs1.37 to Rs1.92, providing another indication of the company’s stronger earnings performance. 283759

Stronger Balance Sheet

Ghani Dairies also reported significant growth in its asset base. Total assets increased to approximately Rs6.31 billion as of June 30, 2026, compared with Rs2.34 billion at the end of FY2025.

Non-current assets rose to Rs3.34 billion, while current assets reached approximately Rs2.97 billion. Cash and bank balances stood at around Rs1.32 billion, compared with only Rs176.94 million a year earlier. 283759

The stronger equity position was another notable development. Shareholders’ equity increased to approximately Rs5.45 billion, compared with Rs1.49 billion in FY2025.

IPO Strengthens Capital Base

One of the major developments reflected in the financial statements was the issuance of ordinary shares through an IPO at a premium.

During FY2026, the company issued 104.2 million ordinary shares, generating a share premium of approximately Rs3.33 billion. After accounting for transaction costs related to the share issuance, the company’s capital and reserves increased substantially. 283759

The IPO proceeds appear to have played an important role in strengthening Ghani Dairies’ financial resources and supporting the company’s expanded asset base.

Cash Position Improves Sharply

The cash flow statement also highlights a major change in the company’s liquidity position. Although the company reported net cash used in operating activities of Rs130.65 million during FY2026, compared with cash generated from operations of Rs176.44 million in FY2025, financing activities provided a significant boost.

Net cash generated from financing activities stood at approximately Rs2.98 billion, largely reflecting proceeds associated with the issuance of ordinary shares at a premium.

As a result, cash and cash equivalents increased from Rs176.94 million to Rs1.32 billion by the end of FY2026. 283759

Investment in Future Growth

The financial statements show that Ghani Dairies continued to invest in its operating capacity. Purchases of operating fixed assets, additions to capital work in progress, advances against machinery and additions to biological assets contributed to substantial investing cash outflows.

Net cash used in investing activities reached approximately Rs1.71 billion during FY2026, compared with Rs191.65 million in the previous year. 283759

This higher level of investment suggests that the company expanded its asset base significantly during the year, positioning itself for further growth.

No Cash Dividend Declared

Despite the strong increase in earnings, Ghani Dairies has not recommended a cash dividend for FY2026. The company’s announcement states that cash dividend, bonus shares and right shares were all nil. 283759

The company has scheduled its Annual General Meeting for October 28, 2026, at 12:10 p.m. in Lahore. Its share transfer books will remain closed from October 22 through October 28, 2026. 283759

Outlook

Ghani Dairies enters the new financial year with a considerably stronger financial base than it had a year earlier. Revenue growth, higher profitability, a stronger equity position and a substantial increase in cash balances are among the key highlights of FY2026.

The company’s significant investment in fixed assets, capital work in progress, machinery and biological assets also indicates an emphasis on expanding its operating capabilities.

Overall, FY2026 was a year of strong earnings growth and major balance-sheet expansion for Ghani Dairies. With net profit rising by roughly 57% and the company’s cash position improving sharply, investors will likely be watching closely to see how effectively the company converts its expanded financial and operating capacity into further growth in the coming years.