⚡ Flash Summary

AKD Hospitality Limited (AKDHL) held a corporate briefing session. The company was incorporated in 1936 and is focused on tourism and hospitality. Financial results indicate a decrease in profitability. While Pakistan presents an emerging tourism market, AKDHL faces challenges including climate change and political uncertainties.

📌 Key Takeaways

• 🗓️ AKDHL was incorporated in 1936.
• 🏨 Principal business is tourism and hospitality, including motels and destination management.
• 👨‍👩‍👧‍👦 AKD Group started in 1947 with real estate and stock-broking.
• 🏢 Authorized capital is Rs. 1000 Million.
• 💵 Paid-up capital is Rs. 25.072 Million.
• 📊 Net profit before levy & tax for June 2025 is Rs. 1,394,494 compared to Rs. 9,291,386 in June 2024.
• 📉 Net profit after levy & tax for June 2025 is Rs. 1,266,304 compared to Rs. 8,360,910 in June 2024.
• 💰 Total comprehensive income for June 2025 is Rs. 13,730,304 compared to Rs. 12,198,910 in June 2024.
• 📉 Earning / (loss) per share – Basic & Diluted for June 2025 is Rs. 0.51 compared to Rs. 3.33 in June 2024.
• 🌍 Pakistan is an emerging tourist destination with diverse geographical regions.
• ⚠️ Challenges include climate change, political uncertainties, and trained staff shortages.

🎯 Investment Thesis

Based on the financial decline and risks, a SELL recommendation is appropriate. The decreasing profitability and EPS suggest that AKDHL may face difficulties in generating shareholder value in the near term. Investment in AKDHL carries significant risk due to the factors mentioned above.