Indus Motor Delivers Strong FY2026 Performance, Profit Climbs 11%

KARACHI, August 29, 2026: Indus Motor Company Limited (IMC), the manufacturer and marketer of Toyota vehicles in Pakistan, has reported a solid financial performance for the year ended June 30, 2026, with after-tax profit increasing to Rs25.51 billion, compared with Rs23.00 billion recorded in the previous year.

According to the company’s financial statements, the latest result represents an increase of around 11% in annual profit, reflecting stronger revenue and improved operating performance.

Revenue crosses Rs258 billion

IMC’s revenue from contracts with customers rose significantly during the year, reaching Rs258.75 billion, compared with Rs215.14 billion in FY2025. This represents growth of approximately 20% year-on-year.

The company attributed its improved performance to higher sales volumes, better localization and the overall performance of its automotive business.

According to the directors’ report, Indus Motor sold 33,210 units during FY2026, compared with 45,035 units in the previous year. Despite lower unit sales, the company’s net sales increased substantially, supported by factors including changes in product mix and pricing.

The company said its market share stood at approximately 14.7% in the domestic automotive sector during the year.

Profitability remains resilient

Gross profit increased to approximately Rs36.53 billion, up from Rs21.94 billion a year earlier. The company also reported operating profit before finance costs of around Rs42.74 billion.

After accounting for finance costs, taxes and other expenses, profit after tax reached Rs25.51 billion, compared with Rs23.00 billion in FY2025.

Earnings per share also improved, rising to Rs324.50 from Rs292.74 in the previous year.

The company’s comprehensive income for the year stood at approximately Rs25.51 billion, compared with Rs23.01 billion in FY2025.

Strong cash generation and shareholder returns

Despite challenging operating conditions, IMC generated significant cash from its operations. The financial statements show cash generated from operations of approximately Rs23.19 billion during FY2026.

The company also maintained a strong focus on shareholder returns. The board recommended a final cash dividend of Rs47 per ordinary share, equivalent to 470%, in addition to interim cash dividends totaling Rs148 per share.

This takes the total cash dividend for the year to Rs195 per share, or 1,950%.

Company highlights operational challenges

In its directors’ report, Indus Motor noted that the automotive sector continued to face a challenging operating environment. The company highlighted factors including exchange-rate movements, elevated costs and changes in market conditions.

At the same time, management pointed to measures such as cost reduction initiatives, favorable exchange-rate movements, lower input costs and production efficiencies as factors supporting profitability.

The company also noted that localization efforts and increased local sourcing helped reduce exposure to foreign exchange volatility and contributed to operational resilience.

Focus on sustainability and community initiatives

Beyond its financial results, IMC continued to report progress on sustainability, corporate social responsibility and community development.

During the year, the company contributed Rs140 billion to the national exchequer, according to the directors’ report. It also continued initiatives covering healthcare, education, environmental sustainability, disaster relief and community development.

The company reported that its CSR initiatives during FY2026 benefited more than 255,000 people, representing a 27% increase over the previous year.

Outlook

Indus Motor’s FY2026 results show that the company was able to maintain profitability despite a difficult automotive environment and lower vehicle sales volumes.

With revenue crossing Rs258 billion, profit after tax reaching Rs25.5 billion and a total proposed cash dividend of Rs195 per share, the company enters the new financial year with a strong financial position.

Management, however, remains conscious of risks related to exchange rates, interest rates, input costs, supply-chain disruptions and regulatory changes. The company said these risks continue to be monitored through its risk-management framework.

Overall, Indus Motor’s FY2026 performance reflects a combination of strong revenue growth, improved margins, disciplined cost management and continued shareholder distributions, despite the challenges facing Pakistan’s automotive industry.