CNERGY reports Rs3.59 billion loss for FY25, reversing previous year's profit

CNERGYICO Pk Limited (PSX: CNERGY) has announced a substantial net loss of Rs 3.59 billion for the year ending June 30, 2025, a stark reversal from a profit of Rs 155.3 million in the previous fiscal year (FY24).

The company posted a negative Earnings Per Share (EPS) of Rs 0.65, down from a positive EPS of Rs 0.03 in FY24. Despite a 23.3% year-on-year increase in revenue, which rose to Rs 296.72 billion from Rs 240.63 billion, the company’s Cost of Sales surged by 27.7% to Rs 292.53 billion, outpacing revenue growth. This led to a 63.6% decline in Gross Profit and a significant drop in the Gross Profit Margin, which fell to 1.41% from 4.78% in the previous year.

Operational costs also increased, with administrative expenses rising by 13.5% and selling and distribution expenses climbing by 9.6%. Other income saw a significant decline of 62.5%. However, finance costs decreased by 49.3% to Rs 4.76 billion, providing some relief. Despite this, the company reported a Loss Before Taxation of Rs 3.14 billion, compared to a Profit Before Taxation of Rs 476 million in FY24.

After accounting for taxes, CNERGY closed FY25 with a net loss of Rs 3.59 billion, resulting in a negative net profit margin of 1.21%, down from a positive 0.06% in FY24.