Mehran Sugar Mills Limited has announced its financial results for the half year ended March 31, 2026, showing steady profitability despite pressure from operating and finance costs. The company also declared an interim cash dividend of 5%, equivalent to Rs 0.50 per share.
During the six-month period, the company recorded gross turnover of Rs 5.68 billion. After sales tax deductions, net turnover stood at Rs 4.59 billion. Gross profit reached Rs 923.6 million, reflecting solid operational performance in a challenging market environment.
Net profit for the period was reported at Rs 230.9 million, compared with Rs 745.4 million in the corresponding period last year. Earnings per share came in at Rs 3.08. The decline in profitability was mainly driven by higher cost of sales, administrative expenses, and finance costs during the period.
On the balance sheet side, total assets increased significantly to Rs 14.34 billion as of March 31, 2026, compared with Rs 7.41 billion at the end of September 2025. This increase was largely due to higher inventory levels and short-term investments, indicating expansion in working capital deployment.
The company’s equity remained stable at Rs 4.66 billion, while current liabilities rose to Rs 8.48 billion, reflecting greater short-term borrowing and trade obligations. Cash and bank balances closed at Rs 77.7 million.
Management stated that the reviewed condensed interim financial statements have been approved by the board and submitted through the Pakistan Unified Corporate Reporting System (PUCARS). The company’s interim dividend announcement signals confidence in maintaining shareholder returns despite softer year-on-year earnings.
