FriesLandCampina Engro Pakistan Limited (PSX: FCEPL) has announced its financial results for the nine months ended September 30, 2025. The company reported a profit after tax of Rs. 2.09 billion, a 3.6% increase from the Rs. 2.02 billion profit recorded in the same period last year.
Earnings per share (EPS) for the period increased to Rs. 2.73, up from Rs. 2.63 in 9MFY24.
The company’s path to profitability was marked by strategic cost management. While net revenue saw a 2.8% decline to Rs. 80.23 billion, the company achieved a greater 4.3% reduction in the cost of sales. This efficiency led to a 5.0% growth in gross profit, which reached Rs. 14.39 billion, and a notable improvement in the gross profit margin to 17.9% from 16.6%.
Performance Highlights (Rs. in billion)
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Net Revenue:Â 80.23 (9MFY24: 82.51) |Â -2.8%
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Gross Profit:Â 14.39 (9MFY24: 13.70) |Â +5.0%
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Operating Profit:Â 6.96 (9MFY24: 5.94) |Â +17.1%
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Profit After Tax:Â 2.09 (9MFY24: 2.02) |Â +3.6%
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Earnings Per Share (EPS):Â Rs. 2.73 (9MFY24: Rs. 2.63) |Â +3.8%
A pivotal factor in the results was a dramatic 59.7% decrease in finance costs, which fell to Rs. 1.10 billion from Rs. 2.72 billion. This, combined with the higher operating profit, caused profit before taxation to surge by 81.8% to Rs. 5.86 billion.
However, this substantial increase in pre-tax profit led to a significantly higher tax expense, which rose by 213.0% to Rs. 3.77 billion. This heavy tax burden was the primary factor that moderated the net profit growth to 3.6%.
Consequently, the net profit margin for the period saw a slight improvement to 2.6%, up from 2.4% in the same period last year. The results demonstrate successful cost and debt management, even as the company navigates a softer revenue environment.
