⚡ Flash Summary

Ghani Glass Limited (GHGL) reported unaudited financial results for the first quarter ended September 30, 2025. The company experienced a revenue increase of 9.0% year-over-year (YoY), reaching PKR 9.99 billion. However, net profit declined to PKR 706 million, compared to PKR 928 million in the same period last year, resulting in a decrease in earnings per share (EPS) from PKR 0.93 to PKR 0.71. The board approved an interim cash dividend of PKR 0.5 per share.

📌 Key Takeaways

• 📈 Revenue increased by 9.0% YoY, reaching PKR 9.99 billion.
• 📉 Gross profit decreased from PKR 2.3 billion to PKR 2.1 billion.
• 📉 Net profit declined from PKR 928 million to PKR 706 million YoY.
• 📉 Earnings per share (EPS) decreased from PKR 0.93 to PKR 0.71.
• 🌱 Interim cash dividend declared at PKR 0.5 per share.
• ⚠️ Pakistan’s economy shows signs of stabilization but faces challenges from severe flooding.
• 🏭 Large-Scale Manufacturing (LSM) recorded a YoY growth of 9.0% in July 2025.
• 🌶️ CPI for September 2025 clocked in at 5.6%, with food inflation rising 5.0% YoY.
• ✅ Completed installation of new machinery for glass tableware segment.
• 🌍 Pakistan remains highly vulnerable to climate change and its impacts.
• ⛈️ Flash floods have intensified pressure on agriculture, infrastructure, and human capital.
• 🤝 Acknowledgment to senior executives of pharmaceutical, food, and beverage industries.
• 🤝 Appreciation for suppliers, contractors, and bankers.

🎯 Investment Thesis

HOLD. The company’s revenue growth is a positive sign, but declining profitability and EPS raise concerns. The interim dividend provides some support, but the overall outlook is uncertain due to economic and environmental challenges. Further analysis is needed to assess the long-term impact of these factors. Price target rationale is that current economic conditions are unstable and with a decline in profitability its best to maintain a hold.