Burj Clean Energy Modaraba (BCEM) has reported a significant improvement in financial performance for the year ended June 30, 2026, as the company moved from its start-up phase into active operations and began generating income from renewable energy assets. The Modaraba reported a profit after tax of Rs. 91.29 million, compared with Rs. 43.03 million in the previous year, representing an increase of 112%. Earnings per certificate also rose to Rs. 0.91 from Rs. 0.43. 283675

The company’s strong performance was supported by substantial growth in operating income. On a standalone basis, total operating income reached Rs. 249.58 million, compared with Rs. 50 million in 2025. The income included Rs. 140 million in advisory income related to the 240MW hybrid wind and solar project in District Thatta, Rs. 72.30 million in Ijarah rental income from the 7.5MW Power Cement wind asset, and Rs. 35 million in management consultancy income from Burj Solar Energy. 283675

First Full Year of Operations

The financial year marked an important transition for BCEM. After being listed on the Growth Enterprise Market Board of the Pakistan Stock Exchange in October 2024, the Modaraba entered its first full year of operations and began earning rental income from its first Ijarah-financed renewable energy asset.

The company’s 7.5MW wind project for Power Cement represents a major milestone. According to the report, the project was formally inaugurated in May 2026 and is described as Pakistan’s first Shariah-compliant wind power project. It was developed under an Ijarah structure and financed through a syndicated Musharaka facility. 283675

Assets and Financing Expand

BCEM’s growth was also reflected on its balance sheet. Total assets increased to Rs. 4.02 billion, compared with Rs. 1.12 billion in 2025. Property, plant and equipment reached Rs. 1.88 billion following the capitalization of the 7.5MW wind asset, while short-term investments stood at Rs. 730 million.

The expansion was supported by long-term financing of Rs. 1.69 billion and short-term Sukuk of approximately Rs. 1.02 billion at year-end. Certificate holders’ equity stood at Rs. 1.13 billion. 283675

On a consolidated basis, including its wholly owned subsidiary Burj Solar Energy, operating income reached Rs. 362.52 million, while consolidated profit after tax stood at Rs. 93.54 million, compared with Rs. 59.37 million a year earlier. 283675

Rs. 0.60 Per Certificate Dividend

Alongside its financial results, the Board recommended a final cash dividend of Rs. 0.60 per certificate, equivalent to 6% on a Rs. 10 certificate. The company stated that the dividend would be paid to eligible certificate holders whose names appear in the register on October 19, 2026. The Annual Review Meeting is scheduled for October 26, 2026, in Karachi. 283675

Renewable Energy Pipeline

BCEM is also looking beyond its first operating project. The company is developing a second 7.5MW captive wind power project for Pakistan Cables at Nooriabad, with HBL as the major financing sponsor and Orient Energy Systems as EPC contractor using GOLDWIND technology. The project is being developed under a Build-Own-Operate-Transfer structure with BCEM acting as lessor under an Ijarah agreement. 283675

The Modaraba also plans to broaden its renewable energy portfolio geographically. While Sindh remains important for captive wind projects, the company sees Punjab as a major opportunity for industrial solar development. It is also exploring battery energy storage systems and sale-and-leaseback structures for commercial and industrial renewable energy assets. 283675

Over the next five years, BCEM is targeting approximately 45MW of new wind capacity, 90MW of solar capacity and 60MWh of battery energy storage, representing an estimated USD 370 million in new asset origination, according to its annual report. 283675

Focus on Sustainable Energy Finance

BCEM’s strategy is centered on providing Shariah-compliant financing for renewable energy and energy-efficiency projects. Its sustainability plans include renewable equipment leasing, green technology investments, energy storage solutions, research and development, and exploration of carbon-credit and I-REC trading opportunities. 283675

The company believes Pakistan’s commercial and industrial sector is increasingly turning toward renewable energy as businesses face high electricity costs and evolving sustainability requirements. The report highlights wind, solar and battery storage as key areas of potential growth.

However, BCEM also acknowledges risks including interest-rate movements, exchange-rate volatility, imported equipment costs, transmission constraints, regulatory changes and counterparty risks. 283675

Outlook

With its first renewable energy asset now operational, a second wind project under development and plans to expand into solar and energy storage, Burj Clean Energy Modaraba is positioning itself as an emerging player in Pakistan’s renewable energy financing market.

The combination of strong profit growth, rising assets, a dividend distribution and an expanding project pipeline gives the Modaraba a stronger operating base as it enters its next phase of growth. The company’s ability to scale its renewable energy portfolio while maintaining disciplined financing and risk management will remain important to its future performance.