Karachi: Amreli Steels Limited (PSX: ASTL) has returned to profitability during the first nine months of FY2026, reporting a net profit of Rs868.16 million for the period ended March 31, 2026, compared to a net loss of Rs2.86 billion in the corresponding period last year. The financial results were approved by the company’s Board of Directors in its meeting held on April 28, 2026.
The turnaround was largely driven by a gain of Rs3.07 billion from the restructuring of loans, which significantly strengthened the company’s bottom line. As a result, the company posted earnings per share (EPS) of Rs2.72, compared with a loss per share of Rs9.62 in the same period of the previous year.
Despite the return to profitability, the company’s operating performance remained under pressure. Net sales for the nine-month period increased modestly to Rs13.04 billion, up from Rs12.91 billion a year earlier. However, gross profit declined to Rs294.12 million from Rs339.88 million, reflecting continued challenges in maintaining margins amid elevated production costs and market conditions.
Amreli Steels reported an operating loss of Rs300.21 million, an improvement from the operating loss of Rs791.88 million recorded in the same period last year. Finance costs also remained substantial at Rs2.38 billion, although they declined from Rs3.14 billion in the corresponding period, highlighting the benefits of the company’s debt restructuring efforts.
For the quarter ended March 31, 2026, the company recorded a net loss of Rs305.34 million, compared with a loss of Rs985.54 million in the same quarter of FY2025. Quarterly sales increased to Rs5.89 billion from Rs4.11 billion, while quarterly loss per share improved to Rs1.03 from Rs3.32.
The Board of Directors did not recommend any cash dividend, bonus shares, rights issue, or any other corporate action alongside the financial results.
The latest results indicate that while Amreli Steels has successfully restored profitability through financial restructuring and reduced finance costs, sustained improvement in its core operations and profitability will remain essential for maintaining long-term financial stability.
