Pakistan Engineering Company Limited (PECO) has reported a net loss of Rs19.25 million for the three-month period ended September 30, 2025, showing an improvement compared with the Rs23.97 million loss recorded in the same period of the previous year.
According to the company’s financial results, PECO recorded no sales revenue during the quarter, while its administrative expenses stood at Rs13.41 million. Other operating income amounted to Rs0.52 million, resulting in an operating loss of Rs13.19 million, compared with an operating loss of Rs19.10 million a year earlier.
The company’s loss before taxation and levies was reported at Rs13.24 million, compared with Rs19.11 million in the corresponding period. After taxation, the net loss stood at Rs19.25 million against Rs23.97 million previously. The basic and diluted loss per share also improved to Rs3.38 per share, compared with Rs4.21 per share in the previous year.
Despite the absence of sales, PECO generated Rs1.55 million from operations during the quarter. After finance costs, gratuity, levy and other payments, net cash generated from operating activities stood at Rs1.23 million, compared with a net cash outflow of Rs2.93 million in the same period last year.
The company’s financial position remained largely stable. Total assets stood at approximately Rs39.61 billion as of September 30, 2025, compared with Rs39.62 billion at June 30, 2025. Property, plant and equipment represented the bulk of the asset base at around Rs39.05 billion. Current assets amounted to Rs242.36 million, including cash and bank balances of Rs8.64 million.
On the liabilities side, total current liabilities were reported at Rs765.21 million, while non-current liabilities stood at Rs123.25 million. The company also reported liabilities of Rs1.79 billion directly associated with freehold land held for sale.
PECO’s accumulated loss increased to approximately Rs2.22 billion by September 30, 2025, while the surplus on revaluation of fixed assets stood at about Rs39.08 billion. The statement of changes in equity also shows the quarterly loss of Rs19.25 million reflected in accumulated losses.
The company’s board, in its meeting held on August 18, 2026, recommended no cash dividend, bonus shares or right shares for the period.
Overall, PECO’s latest results point to a reduction in quarterly losses and an improvement in operating cash generation. However, the continued absence of sales revenue remains a major challenge for the company, while its substantial accumulated losses underline the need for a sustainable improvement in business operations.
