Chenab Limited has reported a wider net loss for the nine months ended March 31, 2026, reflecting the continued challenges faced by Pakistan’s textile sector amid declining sales and persistent financial pressures. The company disclosed its unaudited financial results following a board meeting held on April 30, 2026.
According to the financial statement, Chenab Limited posted a net loss of Rs477.5 million during the nine-month period, compared to a loss of Rs448.8 million recorded in the corresponding period last year. Loss per share increased to Rs4.15, up from Rs3.90 a year earlier.
The company’s revenue experienced a significant decline, with sales falling to Rs1.19 billion from Rs1.88 billion in the same period of the previous year. Lower sales volumes and market challenges continued to weigh on profitability, resulting in a gross loss of Rs118.9 million, compared to a gross loss of Rs86.7 million last year.
While sales remained under pressure, Chenab Limited benefited from other income of Rs40 million, which helped partially offset operational losses. However, administrative expenses and finance costs remained substantial, totaling Rs225.4 million and Rs143.4 million, respectively, during the reporting period.
Despite the weaker earnings performance, the company showed improvement in cash generation from operations. Net cash generated from operating activities stood at Rs30.3 million, supported by better working capital management and reductions in receivables. This compares with operating cash inflows of Rs143.3 million in the corresponding period last year.
On the balance sheet side, total assets were reported at Rs10.04 billion, while accumulated losses increased further, pushing shareholders’ equity into a negative position of approximately Rs895 million as of March 31, 2026. The company also reported long-term financing obligations of Rs6.87 billion, underscoring the burden of debt servicing on its financial performance.
The board did not recommend any cash dividend, bonus shares, right shares, or any other corporate entitlement for shareholders.
Chenab Limited’s latest results highlight the ongoing difficulties facing textile manufacturers amid subdued demand, rising operating costs, and financing challenges. Going forward, the company’s ability to improve sales volumes, manage debt obligations, and strengthen profitability will remain key areas of focus for investors and stakeholders.
