Karachi: Agha Steel Industries Limited has announced its unaudited financial results for the nine-month period ended March 31, 2026, reporting a notable reduction in losses compared to the same period last year, although the company continued to face challenging market conditions. The Board of Directors also announced that no cash dividend, bonus shares, right shares, or any other corporate action would be offered for the period.
During the first nine months of FY2026, the company posted net sales of Rs. 7.325 billion, down from Rs. 8.081 billion recorded in the corresponding period of FY2025. The decline in revenue reflects subdued demand and persistent pressures on Pakistan’s steel sector.
Despite lower sales, Agha Steel significantly improved its bottom line. The company reported a net loss after tax of Rs. 2.73 billion, compared with a loss of Rs. 5.17 billion during the same period last year, representing an improvement of nearly 47%. Loss per share also improved to Rs. 4.51, compared with Rs. 8.55 a year earlier.
The improvement was primarily driven by a substantial reduction in finance costs and lower operating expenses. Finance costs declined to Rs. 2.36 billion from Rs. 3.44 billion, while administrative and selling expenses also decreased compared with the previous year. However, the company continued to report a gross loss of Rs. 1.09 billion, indicating that pricing pressures and production costs remain significant challenges.
On the balance sheet, Agha Steel’s total assets stood at Rs. 53.85 billion as of March 31, 2026, while shareholders’ equity declined to Rs. 19.36 billion due to accumulated losses. The company also recorded an increase in cash and bank balances to Rs. 289 million, providing some improvement in liquidity compared with the beginning of the financial year.
The financial statements indicate that Agha Steel continues to focus on cost management and operational efficiency amid a difficult economic environment characterized by weak construction activity, high financing costs, and challenging market conditions. While profitability has yet to be restored, the substantial reduction in losses suggests the company is making progress toward stabilizing its financial performance.
The complete unaudited financial statements for the third quarter and nine-month period ended March 31, 2026, have been approved by the Board of Directors and submitted to the Pakistan Stock Exchange.
