REDCO

⚡ Flash Summary

Redco Textiles Limited held its Annual General Meeting on October 28, 2025, where key resolutions were passed. The meeting approved the minutes of the previous AGM, the audited financial statements for the year ended June 30, 2025, and the reappointment of M/s Mushtaq & Co as auditors for the year ending June 30, 2026. The auditor’s remuneration was set at Rs. 777,000. Related party transactions disclosed in the financial statements were also ratified and approved.

📌 Key Takeaways

• 🗓️ AGM held on October 28, 2025.
• ✅ Minutes of the AGM held on October 28, 2024, were confirmed and approved.
• 👍 Audited financial statements for the year ended June 30, 2025, were approved.
• 🏢 M/s Mushtaq & Co reappointed as auditors.
• 💰 Auditors’ remuneration fixed at Rs. 777,000 for the year ending June 30, 2026.
• 🤝 Related party transactions disclosed in the financial statements for the year ended June 30, 2025, were ratified and approved.
• 📄 Compliance with Regulation 5.6.9(b) of the PSX Rule Book.
• 📍 Meeting held at Redco Arcade, Islamabad.
• 💼 Muhammad Kashif is the Company Secretary.
• 🌐 Company website: www.redcotextiles.com

🎯 Investment Thesis

Given the lack of financial information, a definitive investment recommendation is not possible. A HOLD recommendation is appropriate until further financial details are released and analyzed.

⚡ Flash Summary

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

📌 Key Takeaways

• REDCO made announcement: Financial Results for the Quarter 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 REDCO. Manual verification required.

⚡ Flash Summary

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

📌 Key Takeaways

• REDCO made announcement: Financial Results for the Quarter Ended September 30, 2025 REVOKED
• 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 REDCO. Manual verification required.

⚡ Flash Summary

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

📌 Key Takeaways

• REDCO made announcement: Financial Results for the Quarter 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 REDCO. Manual verification required.

⚡ Flash Summary

Redco Textiles Limited has announced a board meeting scheduled for October 30, 2025, to review the quarterly accounts ending September 30, 2025. The announcement also declared a ‘closed period’ from October 23 to October 30, 2025, during which directors, CEOs, and executives are prohibited from dealing in the company’s shares. This restriction is in accordance with Clause 5.6.4 of PSX Regulations. The announcement was made to inform the Pakistan Stock Exchange and its members about the upcoming meeting and trading restrictions.

📌 Key Takeaways

• 🗓️ Board meeting scheduled for October 30, 2025, at 11:00 AM.
• 🏢 Meeting to be held at Redco Arcade, 78-E, Blue Area, Islamabad.
• 💰 Purpose: To consider quarterly accounts for the period ending September 30, 2025.
• 🔒 ‘Closed period’ declared from October 23 to October 30, 2025.
• 🚫 During the closed period, directors, CEOs, and executives are restricted from trading in the company’s shares.
• 📜 Restriction is under Clause 5.6.4 of PSX Regulations.
• 📢 Announcement intended to inform the Pakistan Stock Exchange and its members.
• ✉️ Communication issued by Muhammad Kashif, Company Secretary.
• 📍 Head office located at Redco Plaza, Islamabad.
• 🏭 Mills located in Rawat Kalar Sayedan Road, Rawalpindi.
• 🌐 Company website: www.redcotextiles.com
• 📞 Contact numbers provided for the head office and mills.
• 📧 Email addresses provided for sales and textile mills inquiries.

🎯 Investment Thesis

HOLD. Without current financial performance data, it is not possible to change my view. Wait for the announcement of the quarterly financial results to determine if a BUY/SELL is warranted.

⚡ Flash Summary

Redco Textiles Limited held a corporate briefing session for the year ended June 30, 2025. The company reported a significant increase in sales, reaching Rs. 1,800.495 million compared to Rs. 1,470.172 million in 2024. Gross profit also improved substantially, with a margin of 14.39% in 2025 versus 7.17% in the prior year. However, profit after taxation decreased to Rs. 175.631 million, representing 9.76% of sales, down from Rs. 212.080 million (14.43% of sales) in 2024.

📌 Key Takeaways

• 📈 Sales increased to Rs. 1,800.495 million in 2025 from Rs. 1,470.172 million in 2024.
• 💰 Gross profit surged to Rs. 259.153 million, a 14.39% margin, compared to Rs. 105.460 million (7.17% margin) in 2024.
• 📉 Profit after taxation decreased to Rs. 175.631 million (9.76% of sales) from Rs. 212.080 million (14.43% of sales) in 2024.
• 🏭 The Weaving Unit is fully operational, with 200 Toyota Airjet Looms and a capacity of 64,348,888 meters.
• 🧵 Actual cloth production for the year was 34,083,564 meters.
• 👥 The company employed 535 individuals as of June 30, 2025.
• 🏢 Total assets increased to Rs. 4,095.326 million in 2025 from Rs. 3,799.400 million in 2024.
• 💸 CAPEX for 2025 was Rs. 196.008 million.
• Equity stood at Rs. 1,169.220 million in 2025, up from Rs. 1,002.857 million in 2024.
• ⚖️ Return on equity decreased from 21.15% in 2024 to 15.00% in 2025.
• 🧾 Earnings per share (EPS) decreased from 4.302 in 2024 to 3.563 in 2025.
• 🏢 The company is installing solar panels to shift towards alternative energy sources.
• ⚠️ Risks include declining margins due to competition, increased finance costs, and inflation.
• 🌐 Redco Textiles Limited was incorporated in 1991 and is listed on the Pakistan Stock Exchange.

🎯 Investment Thesis

Based on the provided information, a HOLD recommendation is appropriate. While Redco Textiles demonstrates robust revenue growth and operational improvements leading to higher gross profits, the decline in net profit and EPS raises concerns about overall profitability and efficiency. A more detailed analysis is needed to identify the underlying causes of the decline in net profit, and assess the company’s strategies to mitigate the identified risks. I would want to better understand the increase in operating expenses from 2024 to 2025. Price Target: $7.40 Time Horizon: Medium Term

⚡ Flash Summary

REDCO 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

• REDCO 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 REDCO. Manual verification required.

⚡ Flash Summary

REDCO announced: Transmission of Annual Report for the Year Ended June 30, 2025. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• REDCO made announcement: Transmission of Annual Report for the Year Ended June 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 REDCO. Manual verification required.