Asim Textile Mills Reports Strong Profit Growth in First Quarter of FY2026-27
Suggested Website Title: Asim Textile Mills Posts 331% Profit Growth, Earnings Per Share Rises to Rs. 1.38
Asim Textile Mills Limited has reported a significant improvement in its financial performance for the first quarter ended September 30, 2026, posting a substantial increase in sales, operating profit and net earnings compared with the corresponding period last year.
According to the company’s unaudited financial results submitted to the Pakistan Stock Exchange (PSX), net sales increased to Rs. 656.82 million during the quarter, compared with Rs. 459.25 million in the same period of the previous year. This represents an increase of approximately 43%.
The company’s gross profit also witnessed strong growth, reaching Rs. 67.22 million against Rs. 22.02 million recorded in the corresponding quarter last year. Meanwhile, profit from operations surged to Rs. 51.68 million from Rs. 11.89 million, reflecting a considerable improvement in operational performance.
Asim Textile Mills reported a profit before income tax of Rs. 49.62 million, compared with Rs. 7.82 million in the same period last year. After accounting for income tax of Rs. 28.74 million, the company’s net profit reached Rs. 20.89 million, significantly higher than the Rs. 4.85 million reported in the corresponding quarter of 2025.
The improvement in profitability was also reflected in earnings per share (EPS), which increased to Rs. 1.38 from Rs. 0.32 in the same quarter last year.
Improved Financial Position
The company’s balance sheet showed total assets of approximately Rs. 1.39 billion as of September 30, 2026, compared with Rs. 1.30 billion at June 30, 2026. Shareholders’ equity and reserves also increased to Rs. 477.29 million from Rs. 456.41 million.
Another notable development was the improvement in cash generation. Asim Textile Mills generated net cash of Rs. 80.90 million from operating activities during the quarter, compared with a net cash outflow of Rs. 57.16 million in the corresponding period last year. Cash and bank balances stood at Rs. 266.14 million at the end of September 2026.
No Dividend Announced
In its meeting held on October 30, 2026, the company’s Board of Directors considered the financial results for the quarter. The board did not recommend any cash dividend, bonus shares, right shares or other price-sensitive entitlement.
Positive Start to the Financial Year
Asim Textile Mills’ first-quarter results reflect a notable improvement in its financial performance, supported by higher sales, stronger gross profit and increased operating earnings. The substantial rise in EPS and positive operating cash flow are also important developments for shareholders.
Going forward, investors will be watching the company’s ability to sustain its sales growth, manage operating costs and maintain profitability in the remaining quarters of the financial year.
The latest results provide a positive start to FY2026-27, although the sustainability of this performance will become clearer as the company releases its upcoming financial statements.
