⚡ Flash Summary

Panther Tyres Limited (PTL) reported steady balance sheet growth in FY2025, with total assets increasing by 5.28% to PKR 24.88 billion. Equity and reserves grew by 18.59% to PKR 8.80 billion, while long-term borrowings rose significantly by 75.49% to PKR 3.58 billion, reflecting strategic capacity expansion investments. Revenue increased to PKR 32.56 million from PKR 29.53 million in the previous year. Despite balance sheet growth, earnings per share (EPS) decreased slightly to PKR 2.57 from PKR 2.77, indicating some profitability pressures.

📌 Key Takeaways

• 📈 Total assets increased by 5.28% to PKR 24.88 billion.
• ⬆️ Equity & Reserves increased significantly by 18.59% to PKR 8.80 billion.
• ⚠️ Long-term Borrowings increased sharply by 75.49% to PKR 3.58 billion.
• 💰 Revenue increased to PKR 32.56 million from PKR 29.53 million YoY.
• 📉 Gross Profit decreased slightly to PKR 4.2 million from PKR 4.31 million.
• Operating Profit improved from PKR 2.38 million to PKR 2.46 million.
• Profit Before Tax increased to PKR 1.008 million from PKR 896 million.
• 📉 Earnings Per Share (EPS) decreased to PKR 2.57 from PKR 2.77 YoY.
• Export sales increased to Rs. 4.93 Billion.
• The company’s fixed asset turnover improved from 2.42 in 2020 to 2.49 in 2025.
• The company had an increase in PPE from Rs. 304 million in 2020 to Rs. 2,184 million in 2024 and Rs.1,216 million in 2025, reflecting a CAGR of around 32%
• ✨ Strong operational growth reflected in EBITDA per share, rising from 9.54 (2022) to 18.26 (2025).
• ✔️ Cash earnings per share improve steadily, showing enhanced cash flow generation and financial strength.
• ✔️Earnings per share remain stable between 2.5–2.8, indicating consistent profitability despite cost pressures.
• ✨ Overall trend demonstrates improving operations, better cash performance, and sustained financial stability over the four-year period.

🎯 Investment Thesis

Based on the provided information, a HOLD recommendation is appropriate. The company exhibits positive revenue and asset growth, but increased debt and decreased EPS raise concerns. Without additional information on the company’s strategy, market conditions, and sector-specific comparisons, it is difficult to justify a BUY or SELL. A price target and time horizon cannot be accurately determined without further analysis.