⚡ Flash Summary

Mahmood Textile Mills Ltd. (MTM) reported key financial highlights for FY25, including net sales of PKR 57B and gross profit of PKR 7.9B, reflecting a 13.8% margin. Earnings per share (EPS) saw a significant increase from 8.32 to 32.60, marking a 291% rise. While sales declined slightly from the previous year (PKR 66.58B in FY24), the company emphasizes long-term growth momentum and resilience. MTM faces challenges such as rising input costs and geopolitical instability, but is strategically responding with measures like eco-innovative textiles and diversified export markets.

📌 Key Takeaways

• ✅ Net Sales reached PKR 57B in FY25.
• 📈 Gross Profit stood at PKR 7.9B, with a 13.8% margin.
• 🚀 EPS surged by 291%, increasing from 8.32 to 32.60.
• 🌱 Invested in 17.6 MW of renewable energy capacity.
• 🏅 Achieved LEED Gold certifications.
• 🌿 Initiated an Organic Cotton Traceability Program.
• ⚙️ Implemented ERP and automation across production lines.
• 🚺 Launched comprehensive CSR & Women Empowerment Initiatives.
• 🌍 Exports to 72+ countries.
• 🎯 Targeting carbon neutrality by FY2030.
• 💧 Achieved 45% water recycling.
• 🗑️ Diverted 90% of waste from landfills.
• 💪 Maintained a robust current ratio above 1.0.

🎯 Investment Thesis

Given the mixed financial performance, strategic responses to challenges, and the commitment to sustainable practices, a HOLD recommendation is appropriate. The company shows potential for long-term growth but faces short-term headwinds. A price target cannot be accurately determined without further financial details and market analysis.