⚡ Flash Summary

KHYT reported results for the quarter ended September 30, 2025. The company experienced no sales for the quarter, consistent with the prior year. Administrative and financial expenses resulted in an operating loss of (6,660,067) Rupees, compared to an operating loss of (6,158,284) Rupees in the same quarter last year. The total comprehensive loss for the quarter was (4,676,717) Rupees, compared to a loss of (3,955,884) Rupees in the prior year, with a basic and diluted EPS of (3.81) compared to (3.22) last year.

📌 Key Takeaways

• 📉 No sales were reported for the quarter ended September 30, 2025, mirroring the previous year.
• 💰 Administrative expenses totaled 6,660,067 Rupees, up from 6,157,996 Rupees last year.
• 💸 Financial expenses (bank charges) amounted to 288 Rupees.
• Operating loss widened to (6,660,067) Rupees from (6,158,284) Rupees year-over-year.
• 🏦 Other operating income (rent) decreased to 1,983,350 Rupees from 2,202,400 Rupees.
• ❗ Loss before taxation increased to (4,676,717) Rupees from (3,955,884) Rupees.
• 📉 Total comprehensive loss was (4,676,717) Rupees, compared to (3,955,884) Rupees in the prior year.
• 📉 Basic and diluted EPS was (3.81) Rupees, down from (3.22) Rupees last year.
• 🏢 Property, plant, and equipment decreased slightly to 1,279,060,574 Rupees from 1,280,756,896 Rupees.
• 💵 Cash and bank balances decreased to 16,552,916 Rupees from 19,683,311 Rupees.
• 🧾 Accumulated loss increased to (11,236,826) Rupees from (6,560,109) Rupees.
• ⚠️ Short term loan from director decreased to 5,409,718 Rupees from 5,559,718 Rupees.

🎯 Investment Thesis

Given the absence of sales, increasing losses, and negative EPS, a SELL recommendation is warranted. The company’s financial situation is deteriorating, and there is no clear indication of a turnaround. Until the company can demonstrate revenue generation and improved profitability, the stock is considered a high-risk investment. Price Target: Significantly below current levels reflecting the eroding equity and going concern risks.