KARACHI: Faran Sugar Mills Limited has posted a return to profitability for the nine months ended June 30, 2026, reporting a profit after tax of Rs10.75 million, compared with a loss of Rs131.87 million in the corresponding period last year. The financial results were approved by the company’s Board of Directors at its meeting held on July 23, 2026.
Despite the improved earnings, the board did not recommend any cash dividend, bonus shares, or right issue, opting instead to retain earnings as the company continues to strengthen its financial position.
The turnaround was supported by a notable improvement in operating performance. Operating profit rose to approximately Rs432.88 million, up from Rs260.56 million recorded in the same period of the previous year. In addition, the company benefited from a higher share of profit from equity-accounted investments, which climbed to Rs223.39 million from Rs119.42 million a year earlier.
However, financing costs remained substantial at Rs427.85 million, continuing to weigh on profitability. After accounting for levies and taxation, the company recorded a modest net profit of Rs10.75 million, translating into earnings per share (EPS) of Rs0.27, compared with a loss per share of Rs3.72 during the same period last year.
The company’s balance sheet reflects an improvement in shareholders’ equity, which increased to approximately Rs2.20 billion as of June 30, 2026, while total assets expanded to around Rs9.01 billion. Cash flow from financing activities also strengthened due to higher short-term financing, supporting overall liquidity during the period.
Faran Sugar Mills stated that its detailed financial report for the nine-month period ended June 30, 2026, will be transmitted through the Pakistan Unified Corporate Action Reporting System (PUCARS).
