KARACHI– HUM Network Limited has announced its consolidated financial results for the year ended June 30, 2025, revealing a significant contraction in profitability. The Group, which includes its subsidiaries, reported a profit after tax of Rs. 1.24 billion, a steep 58% decline from the Rs. 2.92 billion profit recorded in the previous year.
Consequently, the Board of Directors did not recommend any dividend for the year.
The decline was driven by a combination of lower revenue and a substantial increase in operating expenses. Consolidated revenue fell by 6.6% to Rs. 11.48 billion from Rs. 12.29 billion in FY2024. More significantly, the cost of production and transmission collectively surged by 19.8%, severely impacting profitability. This led to a 39.5% drop in gross profit, which stood at Rs. 3.31 billion compared to Rs. 5.47 billion last year.
Administrative expenses also saw a sharp increase of 34.2%, further squeezing the operating margin. As a result, the Group’s operating profit plummeted by 58.8% to Rs. 1.38 billion. Despite a wider trend of green in the market, the company’s stock price dipped by over 5% after the announcement of the financials, showing reduced investor confidence.
Performance Highlights (Consolidated – Rs.)
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Revenue:Â 11,478,854,122 (2024: 12,293,007,699) |Â -6.6%
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Gross Profit:Â 3,311,445,362 (2024: 5,473,624,215) |Â -39.5%
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Operating Profit:Â 1,381,736,249 (2024: 3,349,552,510) |Â -58.8%
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Profit After Tax:Â 1,235,667,367 (2024: 2,924,870,704) |Â -57.8%
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Earnings Per Share (EPS):Â Rs. 1.09 (2024: Rs. 2.58) |Â -57.8%
Despite the downturn in profitability, the Group’s financial position remains solid. Total consolidated assets grew to Rs. 14.13 billion, and equity attributable to the holding company’s owners stood strong at Rs. 11.65 billion.
The company also generated a healthy operating cash flow of Rs. 939 million, though this was lower than the Rs. 1.44 billion generated from investing activities, primarily due to capital expenditure.
The results reflect a challenging period for the media group, marked by rising production costs and a competitive advertising market. The focus will be on the company’s strategy to stabilize its top line and manage operational efficiencies in the coming year.
