⚡ Flash Summary
Pak Datacom Limited (PAKD) reported a 10.13% increase in net revenue, reaching Rs 1.856 billion for FY 2024-25, driven by a significant 119.83% expansion in its solar business. The company maintains a stable gross profit margin of 26% in its core segment. The Board has recommended a final cash dividend of 60%, equivalent to Rs. 6 per share. The company is focused on operational efficiency, prudent financial management, and expansion into new revenue streams.
📌 Key Takeaways
- ✅ Net revenue increased by 10.13% YoY, reaching Rs 1.856 billion.
- ☀️ Solar business expanded by an impressive 119.83% YoY.
- 💰Stable gross profit margin of 26% maintained in the core business.
- dividend_yield
- 🤝Strong network of partners supporting telecom and green energy solutions.
- 📊 Debt-free status supports long-term investments.
- 🌐 Expansion into underserved markets targeted through satellite-based connectivity.
- 💼Digital transformation accelerating across public and private sectors.
- 🛡️ Multi-digital projects aimed at transitioning the organization towards a paperless and tech-enabled environment.
- 📜 Board comprises seven highly qualified professionals providing strategic direction and risk management.
- 💯 Compliance with Listed Companies (Code of Corporate Governance) Regulations, 2019.
- 🌱 Environmental sustainability goals being pursued through green energy solutions.
🎯 Investment Thesis
Given PAKD’s steady financial performance, successful diversification into the solar business, and dividend payout, a HOLD recommendation is assigned. However, decreasing cash flows and regulatory uncertainties warrant careful monitoring. The near-term price target is Rs. 311.70, reflecting the current market price and dividend value.
Disclaimer: AI-generated analysis. Not financial advice.