⚡ Flash Summary

SUHJ’s 44th Annual Report for the year ended June 30, 2025, reveals a company struggling to revive operations amid financial constraints. The company remains non-operational since 2010, continuing to present its financial statements on a ‘realizable basis’. Efforts to dispose of surplus assets to repay liabilities and raise working capital have yet to materialize due to economic and political uncertainties. Despite losses, the board is attempting to shift the registered office, and seeking to re-elect the board of directors.

📌 Key Takeaways

• ❌ SUHJ remains non-operational since 2010.
• 💰 Loss of RS 55.134 Million in 2025, improved from RS 65.046 Million in 2024.
• 📉 Loss per share at (RS 12.72), improved from (RS 15.01) in the last financial year.
• 🏢 Registered office change proposed to Nowshera to cut costs.
• 📅 Annual General Meeting scheduled for October 28, 2025.
• ⚖️ Directors to be re-elected for a three-year term.
• 🏦 Defaults on debts to financial institutions persist.
• 🚧 No sale transaction or joint venture finalized for surplus assets.
• 🛑 Financial statements prepared on a ‘realizable basis’ due to ‘going concern’ issues.
• 🏛️ Auditor emphasizes land ownership titles not yet transferred to the Company.
• ✅ Independent directors not fully compliant with PICG registration requirements.
• 📌 Revaluation surplus increased to RS 1,663.194 million due to revaluation of property, plant and equipment.
• 🔒 Trade and other payables rose to RS 255.438 Million in 2025 from RS 241.150 Million in 2024
• 💸 Cash and bank balances decreased to RS 1.446 Million in 2025 from RS 1.612 Million in 2024

🎯 Investment Thesis

HOLD. While the company shows efforts to address financial distress, significant risks remain. The company is non-operational and contingent on asset disposal, making a turnaround highly speculative. A potential investment would be very speculative given the uncertainty about when the company returns to operations, but potential remains if a buyer were to show interest in the firm. Until assets can be turned into cash it is not appropriate to upgrade to BUY.