Arif Habib Limited (AHL) has reported a strong financial performance for the year ended June 30, 2026, with consolidated profit after taxation rising to Rs. 1.18 billion and the Board recommending a final cash dividend of Rs. 12.50 per share. The company disclosed its annual financial results to the Pakistan Stock Exchange on August 24, 2026.

Profitability Shows Significant Improvement

According to the consolidated financial statements, AHL’s operating revenue increased to Rs. 2.289 billion in FY2026 from Rs. 1.576 billion in the previous year. The company also recorded a realized gain on disposal of investments of Rs. 1.160 billion, compared with Rs. 1.097 billion in FY2025. After including the net change in unrealized gains on investments, total income before operating expenses reached approximately Rs. 3.496 billion.

Profit before taxation increased to Rs. 1.669 billion from Rs. 1.350 billion a year earlier. After taxation of Rs. 489.2 million, consolidated profit after taxation stood at Rs. 1.180 billion, compared with Rs. 981.5 million in FY2025.

This represents an increase of roughly 20% in annual consolidated profit, highlighting the company’s improved earnings performance during the year.

Earnings Per Share Also Rise

The company’s consolidated earnings per share increased to Rs. 18.06 in FY2026 from Rs. 15.02 in FY2025. The improvement in EPS is consistent with the rise in overall profitability and provides shareholders with stronger earnings attributable to each share.

On an unconsolidated basis, AHL reported profit after taxation of Rs. 1.177 billion, up from Rs. 979.3 million in the previous year. Basic and diluted earnings per share increased from Rs. 14.99 to Rs. 18.01.

Board Recommends Rs. 12.50 Cash Dividend

One of the key highlights for shareholders is the Board’s recommendation of a final cash dividend of Rs. 12.50 per share, equivalent to 125%, for the financial year ended June 30, 2026.

The company did not recommend any bonus shares or right shares alongside the dividend. The final dividend recommendation is subject to the applicable corporate approval process.

The recommendation adds to AHL’s shareholder distribution record. The statement of changes in equity shows that the company paid a cash dividend of Rs. 653.4 million, equivalent to 100%, for FY2025.

Balance Sheet Strengthens

AHL’s consolidated total assets increased to Rs. 10.94 billion as of June 30, 2026, compared with Rs. 7.18 billion at the end of FY2025.

Cash and bank balances also increased substantially, reaching approximately Rs. 6.22 billion, compared with Rs. 3.75 billion a year earlier. Short-term investments stood at Rs. 2.66 billion, while receivables against margin financing reached Rs. 475.1 million.

Shareholders’ equity increased to Rs. 2.475 billion from Rs. 1.948 billion, supported by the year’s profit. Unappropriated profits rose to Rs. 1.822 billion from Rs. 1.287 billion.

Strong Cash Generation

The company’s cash-flow position also improved considerably. Consolidated net cash generated from operating activities reached Rs. 1.969 billion in FY2026, compared with Rs. 520.2 million in FY2025.

After investing and financing activities, the company’s cash and cash equivalents increased to approximately Rs. 4.67 billion at the end of FY2026, compared with Rs. 2.89 billion at the end of the previous financial year.

The stronger operating cash generation provides an additional indication of improved liquidity during the reporting period.

Annual General Meeting Scheduled for September 25

AHL has announced that its Annual General Meeting will be held on Friday, September 25, 2026, at 10:00 a.m. at the PSX Auditorium in Karachi, with participation also available through video conferencing.

The company’s Share Transfer Books will remain closed from September 19 to September 25, 2026. Shareholders whose names appear in the Register of Members on September 18 will be eligible for the announced cash dividend and participation in the meeting, subject to the company’s stated terms.

A Positive Year for AHL

Overall, Arif Habib Limited’s FY2026 results point to a year of improved profitability, stronger revenue, higher earnings per share, increased equity and significantly better operating cash generation. The proposed Rs. 12.50 per-share final dividend further underlines the company’s focus on returning value to shareholders.

With the financial results now announced and the Annual General Meeting scheduled for September 25, investors will be watching the company’s future performance and business outlook closely.