B.F. Modaraba has reported a net loss of Rs2.47 million for the quarter ended September 30, 2026, compared with a net profit of Rs3.89 million in the corresponding period last year, according to its latest financial results submitted to the Pakistan Stock Exchange (PSX).
The financial results were approved by the Board of Directors of E.A. Management (Pvt.) Limited, the management company of B.F. Modaraba, at a meeting held on October 30, 2026.
According to the financial statements, the company recorded total operating income of Rs1.56 million during the quarter, significantly lower than Rs7.91 million reported in the same period of the previous year.
Dividend income increased to Rs735,437 from Rs615,156, while profit on bank deposits declined to Rs285,937 compared with Rs891,636 in the corresponding quarter last year.
Income from Diminishing Musharakah also decreased to Rs346,128 from Rs645,296. Meanwhile, realized gains on mutual funds amounted to Rs166,745, while unrealized gains on remeasurement of mutual fund investments stood at Rs20,929.
The decline in operating income, combined with higher operating expenses, significantly affected the company’s quarterly performance. Operating expenses increased to Rs3.81 million from Rs3.19 million in the corresponding period last year.
Consequently, B.F. Modaraba recorded a loss before taxation of Rs2.26 million, compared with a profit before taxation of Rs4.16 million in the same quarter of the previous year. After accounting for taxation of Rs209,153, the company posted a net loss of Rs2.47 million against a net profit of Rs3.89 million.
Earnings per certificate also declined, with the company reporting a loss of Rs0.33 per certificate compared with earnings of Rs0.52 per certificate in the corresponding quarter last year.
On the balance sheet side, B.F. Modaraba reported total assets of Rs180.04 million as of September 30, 2026, compared with Rs185.67 million at the end of June 2026. Total liabilities stood at Rs3.37 million, while total equity was recorded at Rs157.91 million.
The company’s cash and bank balances amounted to Rs10.58 million at the end of the reporting period.
The cash flow statement showed a net cash outflow of Rs2.75 million from operating activities during the quarter. Net cash outflow from investing activities was recorded at Rs771,472, while cash and bank balances decreased by Rs3.52 million during the period.
The board of directors has not announced any cash dividend, bonus shares or right shares for the first quarter ended September 30, 2026.
The latest results reflect a challenging start to the financial year for B.F. Modaraba, as lower operating income and increased expenses pushed the company into a quarterly loss. Future performance will depend on its ability to improve income generation, manage operating costs and strengthen returns from its investment and financing activities.
