National Foods Delivers Strong FY2026 Performance as Profit Surges and Dividend Reaches Rs30 Per Share

KARACHI: National Foods Limited has reported a significant improvement in its financial performance for the year ended June 30, 2026, with consolidated profit rising sharply compared with the previous year. The company has also recommended a final cash dividend of Rs5 per share, taking the total dividend for the year to Rs30 per share after accounting for interim payouts.

According to the company’s financial statements, the consolidated profit for the year reached Rs26.39 billion, compared with Rs4.42 billion in the previous year. The substantial increase was also reflected in earnings attributable to shareholders of the parent company, which stood at approximately Rs25.97 billion.

The company’s consolidated earnings per share (EPS) increased to Rs111.42, compared with Rs14.85 recorded for the previous year. EPS from continuing operations stood at Rs25.78, while discontinued operations contributed Rs85.64 per share.

Strong Improvement in Standalone Results

National Foods’ unconsolidated financial statements also showed improvement. Profit for the year increased to approximately Rs5.65 billion, compared with Rs3.18 billion a year earlier. Earnings per share on a standalone basis rose to Rs24.26 from Rs13.65.

Operating profit increased to around Rs7.02 billion, compared with Rs4.87 billion in the previous year, while profit before income tax reached approximately Rs5.80 billion.

The balance sheet also showed total assets of approximately Rs27.10 billion on an unconsolidated basis at June 30, 2026, compared with Rs25.82 billion a year earlier.

Total Dividend Reaches Rs30 Per Share

Alongside the financial results, the Board of Directors recommended a final cash dividend of Rs5 per share, equivalent to 100%, for the year ended June 30, 2026.

This comes in addition to interim dividends totaling Rs25 per share, comprising payments of Rs18, Rs3 and Rs4 during the financial year. As a result, the total cash dividend for FY2026 amounts to Rs30 per share.

The Board also recommended the issuance of nil bonus shares, meaning no bonus shares are proposed under the announcement.

Cash Flow and Investment Activity

National Foods generated approximately Rs7.38 billion in net cash from operating activities on a consolidated basis during the year. The company also recorded substantial investment activity, including short-term investments and proceeds from the redemption of investments.

Financing activities, however, resulted in a net cash outflow of approximately Rs9.14 billion, primarily reflecting dividend payments, finance costs and repayments of financing obligations. Consolidated cash and cash equivalents stood at approximately Rs865.8 million negative at the end of the year, compared with positive cash and cash equivalents of Rs816.1 million in the previous year.

Book Closure Announced

The company has announced that its share transfer books will remain closed from October 19, 2026, to October 26, 2026, both days inclusive, for the purpose of determining entitlement to the final dividend.

Transfers received at the company’s share registrar by the close of business on October 16, 2026, will be treated as being in time for the entitlement. The company also stated that its annual report will be transmitted through PUCARS at least 21 days before the Annual General Meeting.

Overall, National Foods’ FY2026 financial statements show a year of substantially higher consolidated earnings, supported by a major contribution from discontinued operations, while the company has maintained a significant cash distribution to shareholders through its final and interim dividends.