⚡ Flash Summary

Kohinoor Energy Limited (KOHE) reported significantly lower sales revenue of Rs. 798 million for the quarter ended September 30, 2025, compared to Rs. 1,463 million in the same period last year. This decline is attributed to reduced electricity dispatches, with the plant operating at a 4.80% capacity factor versus 8.30% last year. Net profit after tax also decreased to Rs. 140 million (EPS of Rs. 0.82) from Rs. 314 million (EPS of Rs. 1.85) in the prior year. Despite the lower financial performance, auxiliary equipment remains in good operational condition.

📌 Key Takeaways

• 📉 Sales revenue decreased significantly to Rs. 798 million from Rs. 1,463 million year-over-year.
• ⚡️ Electricity dispatches were lower due to a reduced capacity factor of 4.80% compared to 8.30% last year.
• 💡 Plant delivered 13,150 MWH of electricity to CPPA-G, down from 22,716 MWH in the same quarter last year.
• 💰 Net profit after tax fell to Rs. 140 million from Rs. 314 million year-over-year.
• 💸 Earnings Per Share (EPS) decreased to Rs. 0.82 from Rs. 1.85 in the corresponding quarter of the previous year.
• 🛠️ Auxiliary equipment remains in sound operational condition.
• 🏦 Status of sales tax demand from the Revenue Department remains unchanged.
• 🤝 Board expressed appreciation to stakeholders, including CPPA-G and PSO.
• 📜 Power Purchase Agreement (PPA) with CPPA-G has been extended to November 27, 2027.
• 🏢 Company operates a 124 MW furnace oil-fired power plant.
• 📜 Legal status is a public limited company listed on the Pakistan Stock Exchange.
• ✔️ The company’s wholly owned subsidiary is KEL Power Solutions (Pvt) Limited

🎯 Investment Thesis

Based on the substantial decline in revenue and profitability, a SELL recommendation is warranted. The reduced capacity utilization and subsequent drop in earnings raise concerns about the company’s near-term prospects. A price target will be set after additional due diligence. Time horizon: Medium-term.