⚡ Flash Summary
Al-Khair Gadoon Limited (AKGL) held a corporate briefing session on October 24, 2025, to discuss the company’s financial performance and outlook. The provided financial data reveals a mixed performance for the year ended June 30, 2025. While revenue increased from PKR 1,671 million to PKR 1,834 million, net profit decreased significantly from PKR 27.25 million to PKR 17.14 million, resulting in a lower Earnings Per Share (EPS) of PKR 1.71 compared to PKR 2.73 in the previous year. Total assets also increased from PKR 681.49 million to PKR 799.48 million.
📌 Key Takeaways
- ⬆️ Revenue increased by 9.75% from PKR 1,671 million in 2024 to PKR 1,834 million in 2025.
- 📉 Net profit decreased by 37.1% from PKR 27.25 million in 2024 to PKR 17.14 million in 2025.
- 📉 EPS declined by 37.36% from PKR 2.73 in 2024 to PKR 1.71 in 2025.
- ⬆️ Total assets increased by 17.31% from PKR 681.49 million in 2024 to PKR 799.48 million in 2025.
- 🔻 Profit before tax decreased from PKR 40.19 million to PKR 30.74 million.
- 🔻 Gross profit margin decreased slightly from 12.97% to 12.41%.
- ⬆️ Shareholders’ equity increased from PKR 322.39 million to PKR 342.09 million.
- ⬆️ The company has authorized capital of PKR 300 million.
- ✅ The company maintains its ISO 9001:2015 certification.
- 🏭 AKGL’s factory is located in Gadoon Amazai Industrial Estate, reflecting a strategic location for production.
- 🗓️ The company was established in 1980.
- 👨💼 Muhammad Amin Sheikh is the CEO of the company.
🎯 Investment Thesis
Based on the financial performance in 2025, a HOLD recommendation is appropriate for AKGL. While revenue has increased, the decline in profitability and EPS raises concerns about the company’s ability to generate sustainable profits. The increased debt levels also add to the financial risk. A wait-and-see approach is warranted until there is evidence of improved profitability and efficient cost management. The price target should be based on a conservative estimate of future earnings, reflecting the current uncertainties.
Disclaimer: AI-generated analysis. Not financial advice.