KARACHI: Kohat Textile Mills Limited (KTML) reported a strong financial performance for the nine months ended March 31, 2026, posting a double-digit increase in profitability despite higher finance costs and taxation.
According to the company’s condensed interim financial statements, net sales rose to Rs. 6.31 billion during the nine-month period, compared with Rs. 6.11 billion in the corresponding period last year. Higher sales, coupled with improved operational efficiency, lifted the company’s gross profit to Rs. 1.01 billion, up from Rs. 873.6 million a year earlier.
Operating profit also strengthened, reaching Rs. 745.7 million, compared with Rs. 678.3 million in the same period of the previous year. However, finance costs remained significant at Rs. 335.1 million, reflecting the impact of higher borrowing costs.
Before taxation, Kohat Textile Mills recorded a profit of Rs. 323.5 million, an increase from Rs. 249.7 million reported in the corresponding period last year. After accounting for taxation and deferred tax, the company’s profit after tax climbed to Rs. 258.1 million, representing an increase of around 12% from Rs. 230.0 million in the same period of FY2025.
The improved earnings translated into earnings per share (EPS) of Rs. 12.41, compared with Rs. 11.06 recorded during the same period last year, highlighting stronger returns for shareholders.
For the third quarter alone, the company posted a net profit of Rs. 72.3 million, down from Rs. 91.4 million in the corresponding quarter of the previous year. Quarterly EPS stood at Rs. 3.48, compared with Rs. 4.40 a year earlier, indicating that rising financing expenses and tax provisions weighed on quarterly earnings despite healthy operating performance.
On the financial position front, Kohat Textile Mills’ total assets increased to Rs. 10.14 billion as of March 31, 2026, from Rs. 10.10 billion at the end of June 2025. Shareholders’ equity also strengthened to Rs. 4.84 billion, supported by higher retained earnings generated during the period.
The company’s results reflect resilience in Pakistan’s textile sector, with improved sales and operating profitability helping offset the impact of elevated financing costs and tax-related charges during the period.
