Karachi, November 6, 2026: Nadeem Textile Mills Limited has reported a net loss of Rs889.9 million for the financial year ended June 30, 2026, compared to a loss of Rs1.34 billion in the previous financial year, reflecting an improvement in its bottom line despite a significant decline in sales.

According to the company’s financial results submitted to the Pakistan Stock Exchange (PSX), its Board of Directors approved the audited financial statements during a meeting held on November 4, 2026, at its head office in Karachi.

The board did not recommend any cash dividend, bonus shares, right shares, or other corporate entitlement for shareholders.

Annual Sales Decline Sharply

Nadeem Textile Mills recorded net sales of Rs2.13 billion during FY2026, compared to Rs4.89 billion in FY2025, representing a decline of approximately 56.6%.

Despite the substantial reduction in revenue, the company’s gross loss narrowed to Rs278.72 million from Rs527.18 million in the previous year.

The company’s operating loss also decreased to Rs509.33 million, compared to Rs770.47 million in FY2025.

Meanwhile, finance costs declined to Rs311.44 million from Rs506.88 million, providing some relief to the company’s overall financial performance.

Net Loss Narrows by 33.5%

The company’s loss before taxation stood at Rs848.24 million during FY2026, compared to Rs1.34 billion in the preceding financial year.

After accounting for taxation, Nadeem Textile Mills reported a net loss of Rs889.90 million, marking an improvement of approximately 33.5% compared to the previous year’s loss of Rs1.34 billion.

Loss per share improved to Rs41.84 from Rs62.94 in FY2025.

Although the company remained in a loss-making position, the reduction in operating expenses and finance costs helped narrow its annual losses.

Financial Position and Cash Flow

According to the audited financial statements, Nadeem Textile Mills’ total assets declined to Rs5.28 billion as of June 30, 2026, compared to Rs6.59 billion a year earlier.

The company’s total equity stood at Rs1.33 billion, compared to Rs2.21 billion in FY2025.

On the cash flow front, the company generated net cash of Rs233.42 million from operating activities, compared to a net operating cash outflow of Rs117.61 million in the previous financial year.

However, cash and cash equivalents declined to Rs23.38 million at the end of FY2026 from Rs55.07 million at the beginning of the year.

The improvement in operating cash flow represents a positive development, although the company’s declining sales and continued losses remain important financial concerns.

Board Announces No Dividend

In its notification to the Pakistan Stock Exchange, the company’s Board of Directors confirmed that no cash dividend, bonus issue, right shares, or other corporate action had been recommended for the financial year ended June 30, 2026.

The decision comes as the company continues to report financial losses.

Annual General Meeting Scheduled for November 27

Nadeem Textile Mills has announced that its Annual General Meeting (AGM) will be held on November 27, 2026, at 9:00 a.m. at its registered office in Lakson Square Building No. 3, Sarwar Shaheed Road, Karachi.

The company’s share transfer books will remain closed from November 20 to November 27, 2026, both days inclusive.

Share transfers received by the company’s share registrar by the close of business on November 19, 2026, will be considered in time for the relevant entitlement.

Outlook

Nadeem Textile Mills’ FY2026 financial results present a mixed picture, with a substantial decline in revenue alongside a noticeable reduction in annual losses.

Lower finance costs, reduced operating expenses, and improved operating cash flow helped the company limit its losses compared to the previous year.

However, the sharp contraction in sales, continued negative profitability, and decline in total assets highlight the financial challenges facing the company.

Going forward, the company’s ability to stabilize revenue, control costs, and improve profitability will remain important factors in assessing its financial recovery.