KARACHI – Ismail Industries Limited (PSX: ISIL), the maker of Candyland and Bisconni products, reported a modest increase in consolidated profitability for the quarter ended September 30, 2025, as strength in some subsidiaries helped offset weaker performance in the core business. The company’s Board of Directors did not recommend any dividend for the period.
On a consolidated basis, profit after tax attributable to the holding company rose to Rs 818.83 million, marking a 9.4% increase from the PKR 748.46 million earned in the same period last year. Earnings per share (EPS) for the consolidated entity followed suit, increasing to Rs 12.34 from Rs 11.28.
However, this consolidated growth masks a significant decline in the parent company’s standalone performance. Excluding the contributions from its subsidiaries, Ismail Industries’ standalone profit after tax fell sharply by 25.8% to Rs 1.07 billion from PKR 1.44 billion last year, with standalone EPS dropping to Rs 16.05 from Rs 21.63.
“The results paint a picture of a conglomerate in transition, where investments in subsidiaries are beginning to bear fruit even as the core business faces margin pressures,” the financial data suggests.
Consolidated net sales saw a 2.7% decline, falling to Rs 30.35 billion from Rs 31.21 billion. The gross profit margin contracted to 17.3%, down from 19.6% last year, as cost of sales remained high relative to revenue.
A significant reduction in finance costs provided a major boost, falling by 34.1% to Rs 1.64 billion from Rs 2.49 billion, reflecting an improved debt management strategy.
The primary reason for the divergence between standalone and consolidated results is the performance of non-controlling interests. The losses attributable to non-controlling interests reduced significantly, from PKR 223.66 million last year to PKR 82.66 million this year, indicating that the subsidiaries, while not all profitable, have substantially reduced their drag on the overall group earnings.
The company’s financial position remains robust, with consolidated cash and bank balances standing at Rs 1.98 billion.
The results underscore the complex dynamics within a diversified group, where the parent company’s performance can be significantly augmented or offset by its investments in subsidiaries and associated companies.
Ismail Industries Limited is a public company listed on the Pakistan Stock Exchange. It is a diversified conglomerate with business interests in the manufacturing and trading of sugar, confectionery, biscuits, snacks, and packaging materials through its various subsidiaries.
