⚡ Flash Summary
Dawood Equities Limited (DEL) reported its financial results for the quarter ended September 30, 2025. The company’s revenue increased significantly compared to the same period last year, leading to a substantial increase in profit for the year. The earnings per share (EPS) also showed a considerable improvement. However, the company is not issuing a cash dividend, bonus issue, or right shares. The financial performance reflects improved operational efficiency and market conditions for DEL.
Signal: HOLD ⏸️
Strength: 6/10
Sentiment: POSITIVE
Time Horizon: MEDIUM_TERM
📌 Key Takeaways
- 💰 Revenue from contracts with customers increased to PKR 87.32 million from PKR 38.87 million year-over-year.
- 🤝 Commission expenses for agents and dealers increased to PKR 44.29 million from PKR 15.87 million year-over-year.
- 📈 Capital gain on disposal of short-term investments decreased to PKR 514,210 from PKR 4.08 million year-over-year.
- 📉 Net unrealized loss on re-measurement of investments was PKR 17.31 million, compared to a gain of PKR 3.13 million in the previous year.
- 💼 Administrative expenses increased to PKR 17.99 million from PKR 12.06 million year-over-year.
- 💸 Financial charges decreased to PKR 2.29 million from PKR 3.26 million year-over-year.
- 📊 Profit before levies and taxation significantly increased to PKR 44.06 million from PKR 11.63 million year-over-year.
- ✅ Income tax expense increased to PKR 7.96 million from PKR 1.56 million year-over-year.
- 🚀 Profit for the year increased substantially to PKR 35.62 million from PKR 9.54 million year-over-year.
- ⭐ Basic and diluted earnings per share (EPS) increased to PKR 1.30 from PKR 0.35 year-over-year.
- 🚫 No cash dividend was recommended by the board of directors.
- 🚫 No bonus issue was recommended by the board of directors.
- 🚫 No right shares were recommended by the board of directors.
🎯 Investment Thesis
HOLD. The significant increase in revenue and profit for the year is a positive sign. However, unrealized losses on investments and rising expenses are concerns. The lack of dividends in the announcement impacts total return. The stock has probably already moved up, so HOLD. Look for further announcements to confirm the direction.
View Original PDF
Disclaimer: AI-generated analysis. Not financial advice.