Ittihad Chemicals Delivers Revenue and Profit Growth in FY2026

Ittihad Chemicals Limited has reported improved financial performance for the year ended June 30, 2026, with higher revenue, operating profit and earnings compared with the previous year. The company also announced a final cash dividend of Rs3.00 per share, while its Board recommended an increase of up to Rs2 billion in long-term investment in M/s Biostacks (Pvt.) Limited, an associated company.

According to the company’s financial results, revenue from contracts with customers increased to Rs34.31 billion in FY2026 from Rs27.86 billion a year earlier. This represents growth of roughly 23 percent and reflects a stronger top-line performance during the year.

Profitability Improves

Ittihad Chemicals recorded an unconsolidated profit after income tax of Rs1.56 billion, compared with Rs1.30 billion in FY2025. Earnings per share also improved to Rs15.58 from Rs12.98.

On a consolidated basis, the company reported profit after tax of Rs1.50 billion, up from Rs1.29 billion in the previous year. Consolidated earnings per share increased to Rs15.01 from Rs12.90.

The company’s unconsolidated operating profit reached approximately Rs3.12 billion, compared with Rs2.86 billion in FY2025. Although finance costs remained significant, the improvement in operating performance helped support the increase in profit before and after taxation.

Final Cash Dividend Announced

The Board approved a final cash dividend of Rs3.00 per share, equivalent to 30 percent, in addition to interim cash dividend payments already made during the year. No bonus shares or right shares were announced.

The company has also announced the closure of its share transfer books from October 21 to October 28, 2026, both days inclusive, for entitlement to the final cash dividend.

Investment Plans and Balance Sheet

The Board has recommended increasing the company’s long-term investment by up to Rs2 billion in Biostacks (Pvt.) Limited, an associated company. The filing identifies this recommendation as other price-sensitive information.

The financial position also expanded during the year. Unconsolidated total assets increased to approximately Rs23.13 billion from Rs20.09 billion, while consolidated total assets rose to about Rs26.71 billion from Rs20.16 billion.

The consolidated statements also show a substantial increase in long-term financing during FY2026, alongside continued investment in operating assets and capital work in progress.

Cash Flow Performance

Ittihad Chemicals generated Rs1.42 billion in net cash from operating activities on an unconsolidated basis, compared with approximately Rs941 million in FY2025. The company used about Rs1.02 billion in investing activities, while financing activities resulted in a net cash outflow of approximately Rs392 million. Cash and cash equivalents stood at about Rs454.5 million at the end of FY2026.

On a consolidated basis, net cash generated from operating activities stood at approximately Rs951 million, while investing activities used about Rs4.02 billion. Financing activities generated approximately Rs3.14 billion, leaving consolidated cash and cash equivalents of around Rs519.5 million at year-end.

Annual General Meeting Set for October 28

The company has scheduled its Annual General Meeting for Wednesday, October 28, 2026, at 11:00 a.m. at its registered office at 39-Empress Road, Lahore.

Overall, the FY2026 results show that Ittihad Chemicals entered the new financial year with higher revenue and improved profitability, while its financial statements also reflect increased investment and financing activity. The final dividend and proposed investment in Biostacks are among the key developments announced alongside the annual results.