KARACHI: First Equity Modaraba has reported a strong turnaround in its financial performance for the nine months ended March 31, 2026, posting a net profit of Rs14.77 million compared to a loss of Rs2.65 million in the corresponding period last year, reflecting a significant improvement in earnings.
According to the company’s financial results, total income for the nine-month period surged to Rs37.07 million, more than doubling from Rs15.53 million recorded a year earlier. Despite operating expenses rising to Rs21.30 million, the Modaraba generated an operating profit of Rs15.75 million, compared to an operating loss of Rs2.51 million in the same period of the previous year.
Profit before taxation stood at Rs16.43 million, while earnings per certificate improved to Rs0.282, reversing the loss per certificate of Rs0.051 reported during the corresponding period last year.
For the third quarter alone, however, First Equity Modaraba recorded a net loss of Rs661,055, a marked improvement from the Rs5.20 million loss posted in the same quarter of last year. The quarterly loss per certificate narrowed to Rs0.013 from Rs0.099.
The company’s balance sheet also showed strengthening financial stability. Total assets increased to Rs692.51 million as of March 31, 2026, compared with Rs665.20 million at the end of June 2025. Cash and bank balances rose sharply to Rs49.75 million, while certificate holders’ equity improved to Rs614.93 million.
Meanwhile, the Board of Directors did not recommend any interim cash dividend, bonus certificates, or right certificates for the period under review. The board approved the financial results in its meeting held on April 29, 2026, with the announcement made on April 30, 2026.
The improved earnings highlight a notable recovery in First Equity Modaraba’s operations during the current financial year, supported by stronger income generation and a return to operating profitability despite continued cost pressures.
