PSYL

⚡ Flash Summary

Pakistan Synthetics Limited (PSYL) presented its corporate briefing for 2025, highlighting its position as a critical packaging supplier to the beverage industry in Pakistan. The company’s revenue increased year-over-year, but gross profit declined slightly. Despite challenges like rising costs and recent floods, management is committed to maintaining market share and profit margins through strategic investments. The company’s mission is to be the most efficient manufacturer of high-performance packaging in Pakistan.

📌 Key Takeaways

• 1. PSL is a key supplier to the FMCG (beverage) industry in Pakistan 🥤.
• 2. Incorporated in 1984, converted to public in 1987, listed on Pakistan Stock Exchange in 1995 🇵🇰.
• 3. Products include Plastic Caps, Crown Caps, PET Resin, and PET Preform 📦.
• 4. Vision: To be an end-to-end solution provider for partners 🤝.
• 5. Mission: To be the most efficient manufacturer of high-performance packaging 🎯.
• 6. Revenue increased from PKR 13,799.512 million in Jun-24 to PKR 16,872.295 million in Jun-25 💰.
• 7. Gross profit decreased from PKR 2,074.116 million in Jun-24 to PKR 1,976.024 million in Jun-25 📉.
• 8. Operating profit decreased from PKR 1,676.831 million in Jun-24 to PKR 1,477.105 million in Jun-25 ⚠️.
• 9. Earnings per share (EPS) increased from PKR 2.51 in Jun-24 to PKR 2.65 in Jun-25 🚀.
• 10. Total assets increased slightly from PKR 11,183.128 million in Jun-24 to PKR 11,198.512 million in Jun-25 👍.
• 11. Shareholder’s equity increased from PKR 4,261 million to PKR 4,628 million 📈.
• 12. Current ratio decreased slightly from 1.19 in 2022 to 1.12 in 2025 ⚠️.
• 13. The company acknowledges challenges including high taxes, duties, fuel costs, and recent flood impacts 😥.

🎯 Investment Thesis

Given the mixed financial performance and external challenges, a HOLD recommendation is appropriate. While the company has shown revenue growth and increased EPS, declining profitability metrics and ongoing risks require careful monitoring. A more positive outlook would depend on the company successfully managing costs, maintaining profitability, and navigating regulatory challenges.

⚡ Flash Summary

Pakistan Synthetics Limited held its 40th Annual General Meeting on October 27, 2025, where key resolutions were passed. The meeting approved the minutes of the 21st Extra Ordinary General Meeting from March 25, 2025. The annual audited financial statements for the year ended June 30, 2025, were also approved and adopted. Additionally, BDO Ebrahim & Co. was appointed as the external auditor for the financial year ending June 30, 2026.

📌 Key Takeaways

• 🗓️ The 40th Annual General Meeting (AGM) was held on October 27, 2025.
• ✅ Minutes from the 21st Extra Ordinary General Meeting held on March 25, 2025, were confirmed.
• 🤝 Chairman was authorized to sign the minutes as token of confirmation.
• 🧾 Annual Audited Financial Statements for the year ended June 30, 2025, were approved and adopted.
• 👨‍💼 Directors’ Report was also approved along with the financial statements.
• 🏢 M/s BDO Ebrahim & Co. appointed as external auditors for the financial year ending June 30, 2026.
• 🕰️ BDO Ebrahim & Co. will hold office until the conclusion of the next AGM.
• 💰 Remuneration for the external auditors to be fixed by the Board of Directors.
• 🇵🇰 The company is Pakistan Synthetics Limited (PSL).
• 🏢 PSL’s office is located in Emerald Tower, Clifton, Karachi.
• 📞 Contact number for PSL is 92-21-35147596-98.
• 🌐 PSL’s website is www.pslpet.com.
• 📧 PSL’s email is headoffice@pslpet.com.

🎯 Investment Thesis

Based on the limited information, a HOLD recommendation is appropriate. The AGM resolutions indicate that the company is maintaining corporate governance standards, but without financial data, it is impossible to assess the company’s investment potential. A price target cannot be determined without financial analysis. Time horizon is dependent on availability of financials.

⚡ Flash Summary

PSYL announced: Financial Results for the First Quarter Ended 30 September 2025. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• PSYL made announcement: Financial Results for the First Quarter Ended 30 September 2025
• Automated analysis: HOLD signal detected
• Signal strength: 5/10
• This is basic analysis – manual review recommended
• Professional CFA analysis unavailable

🎯 Investment Thesis

Basic HOLD indication for PSYL. Manual verification required.

⚡ Flash Summary

PSYL announced: Transmission of Quarterly Report for the period ended September 30, 2025. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• PSYL made announcement: Transmission of Quarterly Report for the period ended September 30, 2025
• Automated analysis: HOLD signal detected
• Signal strength: 5/10
• This is basic analysis – manual review recommended
• Professional CFA analysis unavailable

🎯 Investment Thesis

Basic HOLD indication for PSYL. Manual verification required.

⚡ Flash Summary

PSYL announced: Disclosure of Interest by a Director CEO, or Executive of a listed company and their Spouses and the Substantial Shareholders u/c 5.6.1.(d) of PSX Reg. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• PSYL made announcement: Disclosure of Interest by a Director CEO, or Executive of a listed company and their Spouses and the Substantial Shareholders u/c 5.6.1.(d) of PSX Regulations
• Automated analysis: HOLD signal detected
• Signal strength: 5/10
• This is basic analysis – manual review recommended
• Professional CFA analysis unavailable

🎯 Investment Thesis

Basic HOLD indication for PSYL. Manual verification required.

⚡ Flash Summary

PSYL announced: Board Meeting. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• PSYL made announcement: Board Meeting
• Automated analysis: HOLD signal detected
• Signal strength: 5/10
• This is basic analysis – manual review recommended
• Professional CFA analysis unavailable

🎯 Investment Thesis

Basic HOLD indication for PSYL. Manual verification required.

⚡ Flash Summary

PSYL announced: Board Meeting. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• PSYL made announcement: Board Meeting
• Automated analysis: HOLD signal detected
• Signal strength: 5/10
• This is basic analysis – manual review recommended
• Professional CFA analysis unavailable

🎯 Investment Thesis

Basic HOLD indication for PSYL. Manual verification required.

⚡ Flash Summary

PSYL announced: Disclosure of Interest by a Director CEO, or Executive of a listed company and their Spouses and the Substantial Shareholders u/c 5.6.1.(d) of PSX Reg. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• PSYL made announcement: Disclosure of Interest by a Director CEO, or Executive of a listed company and their Spouses and the Substantial Shareholders u/c 5.6.1.(d) of PSX Regulations
• Automated analysis: HOLD signal detected
• Signal strength: 5/10
• This is basic analysis – manual review recommended
• Professional CFA analysis unavailable

🎯 Investment Thesis

Basic HOLD indication for PSYL. Manual verification required.

⚡ Flash Summary

Pakistan Synthetics Limited (PSYL) reported a 22.27% increase in sales revenue for the financial year 2025, driven by higher sales volumes. Net profit after tax increased to Rs. 367.452 million, compared to Rs. 347.766 million in 2024. However, the Board of Directors did not recommend any cash dividend to meet the company’s long term commitments. The company faces risks including adverse movements in foreign exchange rates, commodity prices, and industrial utilities pricing. The future outlook is cautiously optimistic despite challenges from recent monsoon rains and flooding.

📌 Key Takeaways

• ✅ Revenue increased by 22.27% year-over-year.
• 📈 Net profit after tax grew to Rs. 367.452 million from Rs. 347.766 million.
• 🚫 No cash dividend was recommended for the year ended June 30, 2025.
• ⛽️ Cost of sales increased by 27% due to a rise in gas prices.
• 💸 The company’s investment in an associate reported a loss of Rs. 204.548 million.
• 💲 Basic earnings per share (EPS) increased to Rs. 2.65 from Rs. 2.51.
• 💹 Administrative expenses increased due to enhanced CSR activities.
• Exchange loss of Rs. 52 million compared to an exchange gain of Rs. 7.4 million last year.
• 📉 Finance costs decreased due to a downward trend in interest rates.
• ⚠️ Key risks include adverse movements in foreign exchange rates and commodity prices.
• ☀️ Proactively investing in renewable energy solutions including solar power.
• 🌊 Sales volumes in the upcoming period may be negatively impacted by monsoon rains and flooding.

🎯 Investment Thesis

Given that PSYL has improving profitability and top line growth with no plans for capital expenditure at this time, HOLD. The external Pakistani environment, as well as the lack of a proposed dividend, limit the upside.