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⏸️ PRET: HOLD Signal (6/10) – Revised CBS Presentation

⚡ Flash Summary

Premium Textile Mills (PRET) released its revised Corporate Briefing Session presentation. Annual turnover exceeds PKR 29 billion. The company manufactures premium yarn and socks, operating in local and international markets. Exports account for 96.30% of gross sales in FY25. Net profit attributable to owners increased to PKR 190 million in 2025, compared to a loss of PKR 452 million in 2024.

Signal: HOLD ⏸️
Strength: 6/10
Sentiment: POSITIVE
Time Horizon: MEDIUM_TERM

📌 Key Takeaways

  • 🏭 Inception of company in 1989.
  • 💰 Annual Turnover in excess of 29+ billion.
  • 🧶 Manufactures premium quality yarn and socks.
  • 🌎 Operates in local (3.69%) and international markets (96.30% of Gross Sales) in FY25.
  • ⬆️ No. of spindles increased from 12,230 to 93,471 as of today.
  • 🧶 No of knitting machines have increased to 272 compared to 208 initially.
  • ♻️ Preserving natural resources by widely producing recycled yarn.
  • ☀️ Solar energy system obtained for reliance on green energy to the extent of 20MW.
  • 🌱 Margasa Recycling Plant with capacity of 12 tons/day transforms textile waste into reuseable fibers.
  • ⬆️ Sales increased by 7% in 2025 to PKR 29,012 million.
  • ⬆️ Gross Profit increased by 1.5% to PKR 3,881 million.
  • ⬇️ Operating Profit decreased by 1.5% to PKR 2,800 million.
  • ⬆️ EPS increased to PKR 30.98 from (PKR 73.36) in 2024.
  • ✅ Dividend of PKR 2 per share declared.

🎯 Investment Thesis

Based on the limited information, I recommend a HOLD rating for Premium Textile Mills. The company has shown a turnaround in profitability and has resumed dividend payments, which are positive signs. However, the risks associated with the Pakistani textile industry and the company’s operational challenges warrant a cautious approach. Further analysis of the company’s financials and strategic plans is needed before making a more definitive investment decision.

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Disclaimer: AI-generated analysis. Not financial advice.

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