Hala Enterprises Limited has reported a significant improvement in its financial performance for the first quarter ended September 30, 2026, posting a 42.5% increase in net profit compared with the corresponding period last year.

According to the company’s unaudited financial results submitted to the Pakistan Stock Exchange (PSX), net profit reached Rs4.52 million during the quarter, compared with Rs3.17 million in the same period of the previous year. Earnings per share (EPS) also improved to Rs0.35 from Rs0.24.

The company’s revenue increased by approximately 31.5% to Rs222.55 million, compared with Rs169.23 million in the corresponding quarter of 2025. This growth reflects an improvement in the company’s overall business performance.

Gross profit rose to Rs39.62 million from Rs30.95 million, representing an increase of approximately 28%. However, operating profit declined to Rs12.03 million from Rs13.32 million, indicating pressure from operating expenses during the period.

On the other hand, the company benefited from lower financial costs, which decreased to Rs4.77 million compared with Rs8.05 million in the same quarter last year. Consequently, profit before taxation and levies increased to Rs7.29 million from Rs5.27 million.

The company’s balance sheet showed total assets of Rs913.31 million as of September 30, 2026, compared with Rs921.82 million at the end of June 2026. Total equity and liabilities stood at Rs913.31 million.

Cash flow performance also remained positive. Net cash generated from operating activities reached Rs56.14 million, compared with Rs36.29 million in the corresponding period last year. Cash and cash equivalents at the end of the quarter stood at Rs13.89 million.

The board of directors approved the financial results at its meeting held on October 30, 2026. The company did not announce any cash dividend, bonus shares or right shares alongside the quarterly results.

Overall, Hala Enterprises delivered encouraging revenue and earnings growth during the first quarter of FY2027. Higher sales, improved gross profit and reduced financial costs supported the increase in net earnings, although the decline in operating profit remains an area to watch in upcoming quarters.

The company’s future performance will depend on its ability to sustain revenue growth, manage operating expenses and maintain profitability.