⚡ Flash Summary
Punjab Oil Mills Limited reported a net loss of PKR 69.02 million for the year ended June 30, 2025, compared to a net loss of PKR 37.41 million in the previous year. Revenue increased to PKR 9.24 billion from PKR 8.05 billion. The company did not declare any cash dividend, bonus shares, or right shares. Operating profit decreased significantly from PKR 270.87 million to PKR 152.73 million due to higher operating expenses.
📌 Key Takeaways
- 🚨 Net loss increased to PKR 69.02 million, a significant decline from the previous year’s loss of PKR 37.41 million.
- ⬆️ Revenue increased to PKR 9.24 billion from PKR 8.05 billion, indicating sales growth.
- 📉 Operating profit decreased substantially from PKR 270.87 million to PKR 152.73 million.
- 💰 No cash dividend was declared for the year ended June 30, 2025.
- ❌ No bonus shares or right shares were announced.
- 💸 Finance costs decreased from PKR 168.81 million to PKR 131.34 million.
- 📉 Loss per share worsened to (PKR 8.89) from (PKR 4.82).
- ⚠️ Other operating expenses decreased from PKR 77.94 million to PKR 54.45 million.
- ✅ Other income increased from PKR 42.43 million to PKR 61.09 million.
- 📉 Levy expense increased from PKR 55.78 million to PKR 93.02 million.
- ⬇️ Trade and other payables increased significantly from PKR 527.61 million to PKR 1.10 billion.
- ⬇️ Short term borrowings decreased from PKR 817.40 million to PKR 732.87 million.
🎯 Investment Thesis
SELL. The company’s worsening net loss, absence of dividends, and increasing operating expenses make it an unattractive investment. While revenue grew, the lack of profitability raises concerns about the company’s operational efficiency and financial stability. The price target should reflect the negative earnings and uncertainty, indicating the stock price is likely to decrease. This recommendation has a MEDIUM_TERM horizon.
Disclaimer: AI-generated analysis. Not financial advice.