Select Technologies Limited Reports Lower Profit Despite Revenue Growth in September Quarter

Select Technologies Limited has reported a profit after tax of approximately Rs 693 million for the quarter ended September 30, 2026, compared with Rs 981.3 million in the corresponding period last year, according to its unaudited financial statements submitted to the Pakistan Stock Exchange (PSX).

The company’s latest results show that revenue increased significantly during the quarter, although higher expenses and a decline in operating profitability affected its overall earnings.

Revenue Rises to Rs 7.90 Billion

Select Technologies recorded net revenue of approximately Rs 7.90 billion for the quarter ended September 30, 2026, compared with Rs 11.33 billion in the same period last year?

Profitability Remains Under Pressure

The company reported a profit before taxation of Rs 708.7 million, down from approximately Rs 1.38 billion in the corresponding quarter of the previous year. Profit after tax declined to Rs 693 million from Rs 981.3 million.

Earnings per share also decreased to Rs 0.79, compared with Rs 1.23 in the same period last year. The figures indicate that the company faced pressure on its profitability despite maintaining positive earnings.

Operating Performance and Expenses

The financial statements show operating profit of approximately Rs 1.19 billion for the quarter, compared with Rs 1.77 billion a year earlier. Finance costs amounted to around Rs 585.1 million, while other income contributed approximately Rs 136.3 million.

These figures highlight the importance of operating costs and financing expenses in determining the company’s final earnings. Investors will likely monitor upcoming results to assess whether the company can improve its operating margins and manage financing costs.

Assets and Financial Position

As of September 30, 2026, Select Technologies reported total assets of approximately Rs 41.93 billion, compared with Rs 36.68 billion at the end of June 2026.

The company’s total equity and liabilities stood at approximately Rs 41.93 billion. Its financial position reflected changes in assets, working capital and financing during the quarter.

Cash and bank balances amounted to approximately Rs 587.1 million at the end of September, compared with Rs 369.1 million at June 30, 2026.

No Dividend Announced

The company’s board of directors, in a meeting held on October 26, 2026, did not recommend a cash dividend, bonus shares, right shares or any other corporate entitlement for the quarter.

The company also stated that no other price-sensitive information was announced in the filing. Its quarterly report for the period ended September 30, 2026, was to be transmitted separately through the Pakistan Unified Corporate Action Reporting System (PUCARS).

Outlook for Investors

Select Technologies’ September-quarter results present a mixed picture. While the company remained profitable, lower earnings and reduced earnings per share compared with the previous year may draw attention from investors.

Market participants may focus on revenue trends, operating margins, finance costs and cash flows in subsequent reporting periods to evaluate the company’s financial performance.

As with other listed companies, investors should review the complete financial statements and consider broader market conditions before making investment decisions.