⚡ Flash Summary
Chakwal Spinning Mills Ltd. reported its financial results for the year ended June 30, 2025. The company experienced a Loss after Taxation of PKR (117.727) million, slightly improved from a loss of PKR (121.746) million in the previous year. No cash dividend, bonus shares, or right shares were recommended by the Board of Directors. The company’s financial statements indicate ongoing challenges in profitability and operations, despite some reduction in losses.
📌 Key Takeaways
- 1. 📉 Loss after Taxation: PKR (117.727) million in 2025 vs. PKR (121.746) million in 2024.
- 2. ⚠️ No Dividend: No cash dividend declared for the year ended June 30, 2025.
- 3. 🚫 No Bonus Shares: No bonus shares were issued.
- 4. ❌ No Right Shares: No right shares were offered to shareholders.
- 5. 📉 Gross Loss: PKR (111.887) million in both 2025 and 2024.
- 6. 💸 Administrative Expenses: PKR (6.847) million in 2025, significantly higher than PKR (2.579) million in 2024.
- 7. 📉 Operating Loss: PKR (118.735) million in 2025 vs. PKR (125.248) million in 2024.
- 8. 💰 Other Operating Income: Decreased from PKR 4.803 million in 2024 to PKR 1.260 million in 2025.
- 9. 📉 Loss per Share: Basic & Diluted loss per share is PKR (0.97) in 2025 compared to PKR (1.00) in 2024.
- 10. 🏦 Current Liabilities: Totaled PKR 785.488 million in 2025, slightly higher than PKR 780.234 million in 2024.
- 11. 💰 Short Term Borrowings: Increased to PKR 386.984 million in 2025 from PKR 385.937 million in 2024.
- 12. 🏭 Property, Plant & Equipment: Decreased to PKR 1,952.939 million in 2025 from PKR 2,065.055 million in 2024.
- 13. 🏦 Cash and Bank Balances: Decreased slightly to PKR 47,507 in 2025 from PKR 48,665 in 2024.
- 14. 💸 Cash Flow from Operations: Negative PKR (1.212) million in 2025 compared to positive PKR 1.321 million in 2024.
- 15. ⬆️ Loan from Directors: Remained constant at PKR 118.777 million.
🎯 Investment Thesis
Given the continued losses and negative cash flow, a HOLD recommendation is appropriate. The company needs to demonstrate consistent profitability and improved operational efficiency before a more positive outlook can be considered. Further monitoring of the company’s performance is warranted to assess long-term viability.
Disclaimer: AI-generated analysis. Not financial advice.