⚡ Flash Summary

Pak-Gulf Leasing Company Limited reported a significant decrease in net profit after taxation for the three months ended September 30, 2025, with a profit of PKR 12.408 million compared to PKR 39.761 million in the same period last year. This decline is primarily due to a substantial decrease in income from financing operations, which fell from PKR 51.271 million to PKR 25.022 million. Despite a decrease in finance costs, the overall expenses remained high. The company’s earnings per share also decreased from PKR 0.80 to PKR 0.25.

📌 Key Takeaways

• 📉 Net profit after taxation decreased by 68.8% from PKR 39.761 million to PKR 12.408 million.
• ⚠️ Income from financing operations dropped significantly from PKR 51.271 million to PKR 25.022 million.
• 💰 Earnings per share (basic and diluted) declined from PKR 0.80 to PKR 0.25.
• ⬆️ Other comprehensive income increased from PKR 0.119 million to PKR 1.906 million due to gain on revaluation of FVOCI investments.
• ❌ No interim cash dividend, bonus shares, or right shares were declared.
• ⬆️ Total assets decreased slightly from PKR 1,446.326 million to PKR 1,416.089 million.
• ⬆️ Total equity increased from PKR 790.962 million to PKR 805.276 million.
• ⬆️ Long-term deposits increased from PKR 273.765 million to PKR 306.839 million.
• ⬆️ Reversal against lease receivables held under litigation increased from (0.225) million to (0.568) million
• ⬆️ Reversal for potential lease and loan losses, increased from 3.358 million to 0.773 million

🎯 Investment Thesis

SELL due to significant decline in profitability and revenue, indicating potential operational challenges. Price target: PKR 3.00. Time horizon: Short term.