⚡ Flash Summary
Beco Steel Limited reported its financial results for the year ended June 30, 2025. The company’s revenue increased significantly to PKR 7.45 billion compared to PKR 3.10 billion in the previous year. The company reported a net profit of PKR 111.48 million, a substantial turnaround from the net loss of PKR 90.83 million in 2024. The Board of Directors has recommended a subdivision of the company’s shares from PKR 10/- to PKR 1/- per share to enhance market liquidity.
📌 Key Takeaways
- 🚀 Revenue surged to PKR 7.45 billion, up from PKR 3.10 billion in 2024.
- ✅ The company achieved a net profit of PKR 111.48 million, rebounding from a PKR 90.83 million loss in 2024.
- 💰 Gross profit increased to PKR 386.26 million from PKR 223.36 million year-over-year.
- 📉 Operating expenses decreased from PKR 279.20 million to PKR 134.89 million.
- ✨ Operating profit improved significantly to PKR 251.37 million from a loss of PKR 55.84 million.
- 💸 Finance costs decreased slightly to PKR 5.79 million from PKR 6.93 million.
- 📈 Other income decreased to PKR 0.39 million from PKR 112.26 million.
- 🧾 Earnings per share (basic and diluted) is PKR 0.89, compared to a loss of PKR 0.73 in 2024.
- ➗ Share subdivision proposed from PKR 10/- to PKR 1/- per share.
- 🗓️ Annual General Meeting scheduled for October 28, 2025.
- 🔒 Share transfer books closed from October 21, 2025, to October 28, 2025.
🎯 Investment Thesis
Based on the improved financial performance, especially the significant revenue growth and return to profitability, a BUY recommendation is warranted. The proposed share subdivision may attract more investors and increase trading volume. A price target based on sector multiples and future growth prospects can be established. The time horizon would be Medium term.
Disclaimer: AI-generated analysis. Not financial advice.