⚡ Flash Summary

Nagina Cotton Mills Ltd. reported an increase in revenue for the quarter ended September 30, 2025, compared to the same period last year. Revenue from contracts with customers increased from 4,597.46 million to 5,139.68 million. The company’s profit for the period also saw a significant increase, rising from 7.73 million to 26.16 million. The earnings per share (EPS) increased to 1.40 from 0.41.

📌 Key Takeaways

• 📈 Revenue from contracts with customers increased by 11.8% from Rs. 4,597.46 million to Rs. 5,139.68 million.
• 💰 Gross profit increased by 9.96% from Rs. 379.06 million to Rs. 416.83 million.
• 📊 Operating profit increased by 18.4% from Rs. 244.38 million to Rs. 289.38 million.
• 💸 Profit before levies and taxation increased by 58.4% from Rs. 67.38 million to Rs. 106.74 million.
• 🧾 Profit before taxation increased significantly from Rs. 7.73 million to Rs. 78.21 million.
• ✅ Profit for the period increased substantially from Rs. 7.73 million to Rs. 26.16 million.
• ⭐ Other comprehensive income showed a gain of Rs. 5.53 million compared to a loss of Rs. 1.62 million in the previous year.
• 🚀 Total comprehensive income for the period increased significantly from Rs. 6.11 million to Rs. 31.69 million.
• 💲 Earnings per share increased from Rs. 0.41 to Rs. 1.40.
• 🏛️ Total Equity increased from Rs. 4,759.53 million to Rs. 4,791.22 million.
• liabilities increased from Rs. 9,838.26 million to Rs. 10,180.41 million
• The company’s current assets increased to Rs. 9,443.50 million from Rs. 9,008.69 million.
• Cash and cash equivalents deteriorated from Rs. 336.74 million to negative Rs. (1,558.01) million.

🎯 Investment Thesis

BUY. Nagina Cotton Mills has demonstrated strong growth in revenue, profitability, and earnings per share. The company’s enhanced efficiency and revenue management have led to improved financial performance. A price target of PKR 75, with a time horizon of 12 months, seems appropriate given current EPS growth. However, investors should monitor the cash flow situation and liability levels.