Ghani Global Glass Limited (GGGL) reported a significant decline in profitability for the nine months ended March 31, 2026, as higher production costs, weaker export demand, and external market disruptions weighed on financial performance. According to the company’s latest quarterly financial statements, profit after tax fell to Rs. 70.7 million, compared with Rs. 243.2 million recorded during the corresponding period last year, reflecting a decline of nearly 71%. Earnings per share (EPS) dropped to Rs. 0.30 from Rs. 1.01 a year earlier.
Net sales during the period stood at Rs. 2.04 billion, down 4.2% from Rs. 2.13 billion in the same period of FY25. Gross profit declined to Rs. 490.4 million from Rs. 553.6 million, while operating profit decreased to Rs. 373.1 million from Rs. 539.8 million. The company attributed the weaker performance to lower sales volumes and higher input costs.
Management noted that export sales were particularly affected by the closure of the Pakistan-Afghanistan border amid geopolitical tensions, disrupting pharmaceutical exports and reducing demand for glass tubes, ampoules, and vials. Domestic sales were also impacted by severe flooding earlier in the financial year, which constrained overall market demand. Additionally, ongoing instability in parts of the Middle East indirectly affected pharmaceutical exports in key regional markets.
The company further highlighted that the commissioning of a new glass furnace in July 2025 led to elevated operating costs during its initial start-up phase. Combined with increased raw material prices and reduced other income, these factors compressed profit margins during the period. Despite these challenges, finance costs remained relatively stable at Rs. 266.9 million, compared with Rs. 265.4 million in the corresponding period of last year.
On the operational front, Ghani Global Glass reported a significant increase in the production capacity of its value-added products. Monthly production capacity for ampoules has reached 55 million units, while vial production capacity has increased to 3 million units. The company is also actively pursuing opportunities in international markets, particularly across the Middle East, North Africa, and neighboring regions.
Looking ahead, management remains focused on optimizing manufacturing processes and improving furnace efficiencies. Recommendations provided by technical experts are currently being implemented to reduce production costs and enhance operating profitability. However, the company cautioned that a recent increase in financing costs could continue to exert pressure on bottom-line earnings in the near term.
Despite the challenging operating environment, Ghani Global Glass believes that ongoing efficiency improvements, expanded production capabilities, and efforts to strengthen export market penetration will support future performance recovery.
