⚡ Flash Summary

Alhamra Islamic Stock Fund’s financial results for the quarter ended September 30, 2025, show a substantial increase in total income, rising to PKR 2,086.148 million from PKR 185.996 million in the same quarter last year. The fund also saw a significant increase in net assets, reaching PKR 11,583.307 million compared to PKR 6,435.025 million as of June 30, 2025. This growth is partly attributed to increased unit issuance, as the number of units in issue rose from 267,867,506 to 386,971,268. Earnings per unit (EPU) calculation was deemed impracticable by management.

📌 Key Takeaways

• 📈 Total income surged to PKR 2,086.148 million, a significant increase from PKR 185.996 million in the same quarter last year.
• 💰 Net assets grew substantially to PKR 11,583.307 million, up from PKR 6,435.025 million as of June 30, 2025.
• 📊 Capital gain on the sale of investments increased to PKR 67.852 million from PKR 30.128 million year-over-year.
• 💸 Dividend income increased to PKR 68.432 million from PKR 49.083 million year-over-year.
• 🏦 Profit on bank deposits rose to PKR 16.155 million from PKR 7.306 million year-over-year.
• ✨ Net unrealized appreciation in fair value of investments increased dramatically to PKR 1,933.708 million from PKR 99.479 million year-over-year.
• ⚠️ Total expenses increased to PKR 93.735 million from PKR 47.887 million, mainly due to higher management remuneration.
• ✅ Net income from operating activities surged to PKR 1,992.413 million from PKR 138.109 million year-over-year.
• ⬆️ Number of units in issue increased from 267,867,506 to 386,971,268.
• 💲 Net assets value per unit increased to PKR 29.93 from PKR 24.02 as of June 30, 2025.
• 💸 Receipts from issuance of units amounted to PKR 7,755.465 million.
• 💸 Payments on redemption of units amounted to PKR 4,599.595 million.
• 🏦 Cash and cash equivalents at end of the period increased to PKR 939.133 million from PKR 282.100 million as of June 30, 2025.
• 🚫 Earnings per unit (EPU) not disclosed due to impracticability of calculation.
• 👍 Accounting income available for distribution is PKR 1,756.281 million.

🎯 Investment Thesis

HOLD. Alhamra Islamic Stock Fund has demonstrated strong growth in income and net assets. However, the increase in expenses and lack of EPS data warrants caution. The fund’s positive NAV per unit and strong asset growth are encouraging, but further analysis is needed to ascertain a specific price target. A HOLD recommendation is appropriate pending a deeper dive into expense management and earnings sustainability.