⚡ Flash Summary

Bunnys Limited’s Q1 2025 report reveals an 11.76% increase in revenue compared to Q1 2024, reaching Rs. 2,012.18 million. The gross profit margin improved significantly to 29.72% from 25.12% year-over-year. Profit after tax surged substantially to Rs. 162.13 million, a notable rise from Rs. 30.13 million in the prior year. Earnings per share (EPS) also increased significantly to Rs. 2.43 from Rs. 0.45, indicating a strong improvement in profitability.

📌 Key Takeaways

• 🚀 Revenue increased by 11.76% year-over-year, reaching Rs. 2,012.18 million.
• 📈 Gross profit margin improved to 29.72% from 25.12%.
• 💰 Profit after tax increased significantly to Rs. 162.13 million from Rs. 30.13 million.
• ⭐ Earnings per share (EPS) increased to Rs. 2.43 from Rs. 0.45.
• 📊 Operating profit increased to Rs. 234.49 million from Rs. 133.30 million.
• 🍞 Strong demand across key product categories drove improved results.
• 🎯 Enhanced product portfolio focusing on health-oriented and value-added food items.
• 📣 Effective brand and distribution strategies boosted financial performance.
• ⚙️ Emphasis on cost optimization, process efficiency, and quality assurance contributed to improved margins.
• 🌱 Net profit ratio increased to 8.06% against a net ratio of 1.67% of the same quarter last year.
• 🏦 Finance costs decreased slightly due to lower markup rates.
• 🏭 The company is continuously updating its plant and equipment with cutting-edge technology.
• 🤝 Acknowledgement to stakeholders including shareholders and bankers.
• 🔒 No major changes in commitments affecting the financial position.
• 🌐 Website: www.bunnys.com.pk

🎯 Investment Thesis

BUY. Bunnys Limited shows robust financial performance with significant improvements in revenue, profitability, and EPS. The company’s strategic initiatives, including product portfolio enhancement and cost optimization, contribute to sustained growth. A price target of Rs. 100.00, based on a P/E multiple of 41x, is justified given the company’s growth trajectory. Time horizon: Medium Term (12-18 months). The increase in earnings should attract investor attention and drive the stock price higher.