⚡ Flash Summary

Ghani Global Glass Limited (GGGL) reported unaudited financial results for the first quarter ended September 30, 2025. The company achieved net sales of Rs. 785.13 million, a 28.89% increase compared to the prior year’s Rs. 609.16 million. Despite the revenue growth, profit after taxation decreased significantly by 51.61% to Rs. 24.37 million, leading to a reduced EPS of Rs. 0.10, down from Rs. 0.21 in the same period last year. The decline in profitability was primarily due to increased cost of sales and lower sales volume, driven by higher import costs and exchange rate fluctuations.

📌 Key Takeaways

• ⬆️ Net sales increased by 28.89% to Rs. 785.13 million from Rs. 609.16 million year-over-year.
• 🌍 Export revenue reached Rs. 21.14 million.
• 💰 Cost of sales increased to Rs. 642.30 million compared to Rs. 467.50 million in the same period last year.
• Gross profit increased slightly to Rs. 142.83 million from Rs. 141.66 million.
• 📉 Operating profit decreased by 24.14% to Rs. 123.44 million from Rs. 162.72 million.
• 💸 Finance costs decreased to Rs. 83.92 million from Rs. 102.03 million.
• ⚠️ Profit after taxation decreased significantly by 51.61% to Rs. 24.37 million from Rs. 50.38 million.
• 📉 Earnings per share (EPS) decreased to Rs. 0.10 from Rs. 0.21.
• 🏭 The company upgraded its furnace to boost production and expanded capacity with new filling lines.
• Ampoule production capacity increased to 55 million units per month with new European machines.
• 🤝 The company is partnering with major pharmaceutical firms to install on-site ampoule lines.
• 🔄 The company completed a buyback of 1,217,685 ordinary shares, representing approximately 0.51% of issued share capital.

🎯 Investment Thesis

Given the decline in profitability and EPS, a HOLD recommendation is appropriate at this time. While revenue growth is positive, the increased costs and decreased profits raise concerns about the company’s operational efficiency and financial management. Further analysis is needed to determine if the company can effectively manage costs and improve profitability in the coming quarters. Watch for further share buybacks, since its happening without clear explanation.