Strength-8 - FoxLogica

📉 GUTM: SELL Signal (8/10) – Financial Results For The Year Ended 300-06-2025

⚡ Flash Summary

Gulistan Textile Mills reported a significant loss after taxation of PKR 51.67 million for the year ended June 30, 2025, a stark contrast to the profit of PKR 735.26 million in the previous year. This translates to a negative earnings per share (EPS) of PKR 2.72 compared to a positive EPS of PKR 38.73 in 2024. The company experienced a considerable loss from operations of PKR 56.68 million. While other income partially offset the losses, it wasn’t sufficient to achieve profitability. The company’s scheme of arrangement with creditors sanctioned by the Sindh High Court Karachi is under implementation.

Signal: SELL 📉

Strength: 8/10

Sentiment: NEGATIVE

Time Horizon: LONG_TERM

📌 Key Takeaways

📉 Loss after taxation: PKR 51.67 million in 2025 vs. Profit of PKR 735.26 million in 2024.
📉 EPS: Negative PKR 2.72 in 2025 vs. Positive PKR 38.73 in 2024.
⚠️ Loss from operations: PKR 56.68 million in 2025 compared to PKR 16.39 million in 2024.
⬆️ Other income: Decreased significantly to PKR 5.03 million in 2025 from PKR 751.66 million in 2024.
💰 Finance Cost: Remained relatively stable at PKR 18,901 in 2025 compared to PKR 14,783 in 2024.
⚖️ (Loss)/Profit before Taxation: PKR (51,667,958) in 2025 vs. PKR 735,259,923 in 2024.
🚫 No Cash Dividend, Bonus Shares, or Right Shares were declared for the year.
🏛️ Scheme of Arrangement: Implementation ongoing, sanctioned by Sindh High Court Karachi.
📅 AGM: Annual General Meeting scheduled for October 28, 2025.
📚 Share Transfer Books: To remain closed from October 21, 2025, to October 28, 2025.
🏦 Payable to Banking Companies under scheme of arrangement: PKR 8,216,834,000 for both 2025 and 2024.
Assets decreased slightly from PKR 448.74 million in 2024 to PKR 441.41 million in 2025.

🎯 Investment Thesis

SELL. Gulistan Textile Mills’ financial performance has deteriorated significantly, with a substantial loss reported for the year ended June 30, 2025. The negative EPS and cash flow from operations, coupled with large accumulated losses and ongoing financial restructuring, make it a risky investment. A price target cannot be reasonably established given the negative earnings. The time horizon is indefinite.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements BFMOD Signal: BUY

📈 BFMOD: BUY Signal (8/10) – Transmission of Annual Report for the Year Ended June-2025

⚡ Flash Summary

B.F. Modaraba (BFMOD) reported a substantial increase in revenue for the year ended June 30, 2025. Gross revenues surged by 80% year-over-year, climbing to Rs. 33.145 million. This surge was fueled by profits from marketable securities and sugar trading activities, capitalizing on favorable economic conditions in Pakistan. Earnings per certificate also increased significantly to Rs. 1.96.

Signal: BUY 📈

Strength: 8/10

Sentiment: POSITIVE

Time Horizon: MEDIUM_TERM

📌 Key Takeaways

📈 Revenue soared by 80%, reaching Rs. 33.145 million compared to Rs. 18.445 million in the previous year.
💰 Trading income was a major contributor, amounting to Rs. 17.459 million.
🏦 Dividend income stood at Rs. 5.024 million.
💸 Profit on bank deposits contributed Rs. 5.340 million.
🤝 Diminishing Musharakah income amounted to Rs. 5.299 million.
✅ Pre-tax profit reached Rs. 14.697 million, a notable increase from Rs. 6.269 million in 2024.
⭐ Earnings per certificate significantly increased to Rs. 1.96.
📊 Equity Market index closed 60% higher at 125,627 points.
💼 Unrealized gain on marketable securities was Rs. 21.472 million, a turnaround from an unrealized loss of Rs. 17.605 million in 2024.
🌱 Workshop business, impacted by earlier economic slowdown, shows signs of recovery.
🛡️ The company emphasizes prudent risk management and diversification of income streams.
🤝 Management reaffirms its commitment to sustainable growth and operational excellence.
👧 Gender Pay Gap remains at 100% due to the absence of female employees within the Modaraba.
✅ Auditor’s report indicates proper financial statement maintenance and compliance with regulatory standards.

🎯 Investment Thesis

BFMOD presents a compelling BUY opportunity due to its strong financial performance, demonstrated growth, and proactive management strategies. The company’s ability to capitalize on favorable economic conditions and deliver significant revenue and earnings growth suggests a positive outlook. A price target of Rs. 2.50 is justified based on the enhanced EPS and the improved market sentiment, with a medium-term investment horizon.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements MUBT Signal: SELL

📉 MUBT: SELL Signal (8/10) – Transmission of Annual Report for the Year Ended 30.06.2025

⚡ Flash Summary

Mubarak Textile Mills Limited’s 2025 annual report reveals a challenging financial year. The company experienced an operating loss of (9,775,671) Rupees, an improvement from the previous year’s (10,605,906) Rupees. Accumulated losses continue to weigh on the company, standing at 87.213 million Rupees. Auditors have issued an adverse opinion, casting doubt on the company’s ability to continue as a going concern, despite management’s plans for revival.

Signal: SELL 📉

Strength: 8/10

Sentiment: NEGATIVE

Time Horizon: LONG_TERM

📌 Key Takeaways

1. 📉 Operating loss improved to (9,775,671) Rupees from (10,605,906) Rupees year-over-year.
2. ⚠️ Accumulated losses increased to 87.213 million Rupees.
3. 🏛️ Auditors issued an adverse opinion, questioning the going concern status.
4. 🏢 Current liabilities exceed current assets by 1.065 million Rupees.
5. ❌ Dividend is passed over due to tight liquidity.
6. 🏭 Operations ceased in 2011, with revenue primarily from rental income.
7. 🤝 Interest-free loans from sponsors amount to 47.387 million Rupees, terms not settled.
8. ⚖️ Winding-up petition filed by SECP is pending in Lahore High Court.
9. 🏢 The company recognized rental income of 9.904 million Rupees.
10. 📈 Revaluation surplus reported at 1.506 million Rupees.
11. 🗓️ Four Board meetings were held during the year, with full attendance.
12. 🤝 Relations between management and employees remained cordial.
13. 👨‍💼 Present auditors retired and offer themselves for reappointment.
14. 🎯 Management aims to revive company through stitching of Knitwear garments.
15. 📜 Board confirms compliance with Corporate Governance regulations, with some exceptions.

🎯 Investment Thesis

Given the adverse auditor opinion, accumulated losses, negative current ratios, and pending litigation, a SELL recommendation is warranted. The company’s financial statements reflect material uncertainty regarding its ability to continue as a going concern. The stock has little to no intrinsic value given its financial distress. The risks far outweigh any potential reward. Price target of zero, long term investment horizon.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements Signal: BUY SSOM

📈 SSOM: BUY Signal (8/10) – Financial Results for the Year Ended June 30, 2025

⚡ Flash Summary

S.S. Oil Mills Limited’s financial results for the year ended June 30, 2025, show a significant turnaround with a net profit of PKR 250.63 million compared to a net loss of PKR 123 million in the previous year. This improvement is primarily driven by a substantial increase in net sales, which surged from PKR 4.52 billion to PKR 7.83 billion. While financial costs remain high at PKR 176.73 million, they have decreased from the previous year’s PKR 278.12 million. The company’s Earnings per Share (EPS) has also improved dramatically, from a negative PKR 21.74 to a positive PKR 44.29.

Signal: BUY 📈

Strength: 8/10

Sentiment: POSITIVE

Time Horizon: MEDIUM_TERM

📌 Key Takeaways

🚀 Net sales increased by 73.3% YoY, from PKR 4,516.35 million to PKR 7,828.87 million.
💰 Net profit turned positive, reaching PKR 250.63 million compared to a net loss of PKR 122.99 million in the previous year.
📈 Earnings per Share (EPS) improved to PKR 44.29 from a loss per share of PKR 21.74.
📉 Financial costs decreased from PKR 278.12 million to PKR 176.73 million.
📊 Gross profit increased significantly from PKR 232.76 million to PKR 579.49 million.
✅ Operating profit improved from PKR 177.28 million to PKR 494.39 million.
⚠️ Short-term borrowings decreased from PKR 1,228.12 million to PKR 996.71 million.
🏦 Cash and bank balances increased from PKR 51.80 million to PKR 220.43 million.
📜 Trade debtors increased from PKR 783.79 million to PKR 977.63 million, indicating potential credit risk.
inventories decreased from PKR 1,315.38 million to PKR 1,048.18 million.

🎯 Investment Thesis

Based on the strong financial performance and positive turnaround, a BUY recommendation is justified. The company has demonstrated improved revenue growth, profitability, and operational efficiency. The decrease in financial costs and the increase in cash reserves are positive indicators. A price target of PKR 65 per share is set, based on a projected EPS of PKR 50 and a P/E ratio of 1.3, with a time horizon of 12-18 months. This assumes the company can sustain its improved performance and effectively manage its risks.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

AHTM announcements Signal: BUY

📈 AHTM: BUY Signal (8/10) – Financial Results for the Year Ended June 30, 2025

⚡ Flash Summary

Ahmad Hassan Textile Mills Limited (AHTM) announced its financial results for the year ended June 30, 2025. The company’s revenue increased significantly compared to the previous year, leading to a substantial rise in profit after taxation. The board has recommended a final cash dividend of Rs. 1.50 per share, which is 15% for the financial year. AHTM’s earnings per share (EPS) also improved considerably year-over-year, reflecting enhanced profitability.

Signal: BUY 📈

Strength: 8/10

Sentiment: POSITIVE

Time Horizon: MEDIUM_TERM

📌 Key Takeaways

💰 Revenue from contracts with customers increased to Rs. 5,626.43 million, up from Rs. 5,078.31 million in 2024.
📈 Gross profit surged to Rs. 429.76 million compared to Rs. 306.63 million in the previous year.
🚀 Profit after taxation jumped to Rs. 94.20 million, a substantial increase from Rs. 40.66 million in 2024.
⭐ Earnings per share (EPS) rose to Rs. 11.12 from Rs. 4.80 in the prior year.
💸 The Board recommended a final cash dividend of Rs. 1.50 per share (15%).
📊 Selling and distribution expenses decreased to Rs. 26.07 million from Rs. 33.03 million in 2024.
🏢 Administrative expenses increased to Rs. 84.07 million compared to Rs. 75.50 million in 2024.
📉 Finance costs increased to Rs. 161.37 million from Rs. 132.40 million year-over-year.
✅ Profit before income tax increased to Rs. 104.49 million from Rs. 55.67 million in the previous year.
🧾 Total assets increased to Rs. 4,455.89 million from Rs. 3,903.42 million.
✔️ Non-current assets increased to Rs. 2,406.19 million from Rs. 1,718.74 million.
✔️ Current assets decreased slightly to Rs. 2,049.69 million from Rs. 2,184.68 million.
📉 Short term borrowings decreased significantly to Rs. 282.22 million from Rs. 699.13 million.
📅 The Annual General Meeting will be held on October 28, 2025.

🎯 Investment Thesis

AHTM is a **BUY**. The company has demonstrated strong financial performance in fiscal year 2025, with significant growth in revenue, profitability, and EPS. The recommended dividend payout is attractive. The current stock price does not fully reflect the improved financial performance, suggesting upside potential. The price target is Rs. 110 based on a conservative P/E ratio of 10x the EPS of Rs. 11.12. The time horizon is MEDIUM_TERM (12-18 months).

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements INKL Signal: BUY

📈 INKL: BUY Signal (8/10) – Transmission of Annual Financial Statements for the Year Ended 30/06/2025

⚡ Flash Summary

International Knitwear Limited (INKL) reported a robust financial performance for the year ended June 30, 2025, with a significant increase in net sales, gross profit, and earnings per share. The company achieved record-high turnover driven by substantial rise in sales volumes, particularly in the local market. However, margin pressures persisted due to higher freight expenses and input costs. The board has recommended a final cash dividend of 10%, equivalent to PKR 1.0 per share, reflecting confidence in the company’s cash-generating capability and strategic investments.

Signal: BUY 📈

Strength: 8/10

Sentiment: POSITIVE

Time Horizon: MEDIUM_TERM

📌 Key Takeaways

🚀 Net sales increased by 42.33% to Rs. 1.21 billion in 2025 from Rs. 850.50 million in 2024.
💰 Gross profit rose by 30.66% to Rs. 106.35 million in 2025 from Rs. 81.40 million in 2024.
📈 Profit before income taxes surged by 84.08% to Rs. 49.30 million.
🌟 Profit after income tax soared by 179.42% to Rs. 30.86 million.
💸 Earnings Per Share (EPS) skyrocketed by 179.82% to Rs. 3.19 from Rs. 1.14.
🚚 Freight expenses impacted margins, with gross margin declining to 8.78% from 9.57%.
🌍 Export revenue increased by 13.74% to Rs. 556.66 million.
🇵🇰 Local sales surged by 80.20% to Rs. 653.91 million.
🌱 Capital expenditure increased by 58.04% to Rs. 35.97 million, reflecting investments in new facilities and equipment.
🔆 A 250 KW solar power project was commissioned, aiming to mitigate rising energy costs.
дивиденды The Board recommended a 10% final cash dividend (PKR 1.0 per share).
💪 Total assets employed increased to Rs. 811.36 million, an increase from the prior period’s Rs. 482.61 million.
♻️ The company emphasizes sustainability, committing to reducing environmental impact and promoting responsible business practices.
📊 Return on Equity (ROE) stood at 15.87% compared to 6.60% last year.
👑 Board committed to cost efficiencies and operational improvements to maximize shareholder returns.

🎯 Investment Thesis

I recommend a BUY rating for INKL, based on its strong revenue growth and EPS performance. Although the negative operating cash flow and potential liquidity issues represent concerns, the company’s strategic investments and commitment to sustainability create a positive outlook. I believe that INKL’s management will take corrective measures and the stock will yield healthy returns in the medium-to-long term, contingent upon the resolution of potential risks. The expansion of solar power usage reflects positively. This is a Pakistani company and the economic and geopolitical situation in Pakistan always bears added risk.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements GAL Signal: BUY

📈 GAL: BUY Signal (8/10) – Transmission of Annual Report for the Year Ended 06-30-2025

⚡ Flash Summary

Ghandhara Automobiles Limited’s (GAL) annual report for the year ended June 30, 2025, showcases a remarkable turnaround in financial performance. The company has demonstrated resilience and recovery, achieving record sales revenue and profits. The company’s success is attributed to effective management and rising automotive volumes. A final cash dividend of Rs. 10 per share has been recommended, subject to shareholder approval, signaling a return of value to investors.

Signal: BUY 📈

Strength: 8/10

Sentiment: POSITIVE

Time Horizon: MEDIUM_TERM

📌 Key Takeaways

🚀 GAL’s revenue soared, marking a significant recovery in the automotive sector, driven by economic stabilization.
💪 Real GDP expanded by 2.68% in FY25, supporting the automotive industry’s rebound.
🌟 Highest-ever sales revenue and profit achieved, showcasing exceptional financial performance.
💰 Standalone net sales reached PKR 23.2 billion, with a gross profit of PKR 3.9 billion.
📈 Consolidated net sales hit PKR 34.5 billion, accompanied by a gross profit of PKR 6.4 billion.
💲 Standalone earnings per share (EPS) reported at Rs. 41.92.
📊 Consolidated EPS reached Rs. 71.85, indicating strong profitability at the group level.
🌱 Sustainability initiatives underway, including a 2 MW solar power system installation.
🤝 Over PKR 10 billion contributed in taxes to Pakistan’s growth, showcasing commitment to economic development.
🌍 ESG focus evident through environmental, social, and governance metrics and initiatives.
🛠️ Total employee count increased by 50% to 1,238, highlighting job creation.
💡 New models introduced, including JAC T9 Hunter, contributing to increased sales and market presence.
🌱 Plans for plug-in hybrid vehicles and further sustainability goals announced, signaling a forward-looking approach.
💲 Final cash dividend of 100% (Rs. 10 per share) recommended, subject to shareholder approval

🎯 Investment Thesis

GAL represents a compelling investment opportunity. The company has demonstrated a strong turnaround in financial performance, is committed to sustainability, and is positioned to benefit from growth in the automotive sector. Its focus on new technology and environmental consciousness further supports a bullish outlook.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements FNBM Signal: SELL

📉 FNBM: SELL Signal (8/10) – Transmission of Annual Report for the Year Ended June 30, 2025

⚡ Flash Summary

First National Bank Modaraba (FNBM) reported a net loss of Rs. 3.9 million for the year ended June 30, 2025, a stark contrast to the previous year’s net profit of Rs. 34.7 million. This decline is attributed to reduced income from short-term deposit placements and ongoing finance costs related to legacy borrowing. Recoveries from non-performing loans (NPLs) slowed, amounting to Rs. 14.75 million compared to Rs. 73.90 million in FY24. Management is actively evaluating strategic options for business revival, including potential balance sheet restructuring. The company remains committed to Shariah compliance and adherence to applicable audit mechanisms.

Signal: SELL 📉

Strength: 8/10

Sentiment: NEGATIVE

Time Horizon: SHORT_TERM

📌 Key Takeaways

📉 FNBM reports a net loss of Rs. 3.9 million in FY25, a significant drop from the Rs. 34.7 million profit in FY24.
💸 Income from short-term placements decreased to Rs. 40.5 million in FY25 from Rs. 49.7 million in FY24 due to SBP policy rate reduction.
⚠️ Accrued finance costs on a short-term loan facility amounted to Rs. 34.2 million in FY25, down from Rs. 49.5 million in FY24.
💰 Recoveries from non-performing portfolio totaled Rs. 14.75 million in FY25, a substantial decrease from Rs. 73.90 million in FY24.
⚖️ Recoveries included Rs. 1.89 million from reversal of doubtful recoveries, Rs. 6.37 million from reversal of suspended income, and Rs. 6.49 million in principal recovered.
💼 Operating expenses were managed at Rs. 16.30 million.
📜 FNBM faces challenges with accumulated losses exceeding 50% of its paid-up fund and a winding-up petition filed by SECP.
🚫 No dividends were declared for the year ended June 30, 2025.
🌱 Management is actively evaluating strategic options under a comprehensive business revival plan.
⚖️ The financial statements have been prepared on the basis of estimated realizable/settlement values of assets and liabilities.
✔️ The company is fully committed to Sharia’h compliance.

🎯 Investment Thesis

SELL. FNBM faces significant financial and legal challenges, with accumulated losses exceeding 50% of its paid-up fund and a winding-up petition filed by SECP. The transition to estimated realizable values signals distress. No dividends were declared, and recovery momentum from NPLs has significantly slowed. There is no price target given the uncertainty.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements DMC Signal: BUY

📈 DMC: BUY Signal (8/10) – Financial Results for the Year Ended June 30, 2025

⚡ Flash Summary

D.M. Corporation Limited reported its financial results for the year ended June 30, 2025. The company did not declare any cash dividend, bonus shares, or right shares. The revenue increased from the previous year, resulting in a significant increase in profit after tax. The earnings per share also rose substantially, reflecting improved profitability. The company’s Annual General Meeting will be held on October 28, 2025.

Signal: BUY 📈

Strength: 8/10

Sentiment: POSITIVE

Time Horizon: MEDIUM_TERM

📌 Key Takeaways

💰 No cash dividend was declared for the year ended June 30, 2025.
❌ No bonus shares were issued.
🚫 No right shares were offered.
📈 Revenue increased to PKR 32.48 million from zero in the previous year.
🚀 Profit from operations surged to PKR 48.69 million compared to PKR 18.06 million in 2024.
✨ Profit before tax reached PKR 40.39 million, a significant increase from PKR 14.94 million in the previous year.
✅ Profit after tax soared to PKR 45.30 million, up from PKR 14.85 million in 2024.
💸 Earnings per share (EPS) increased significantly to PKR 14.84 from PKR 4.87 in the previous year.
🗓️ Annual General Meeting to be held on October 28, 2025.
📚 Share transfer books will be closed from October 21, 2025, to October 28, 2025.
🏢 Increase in total equity to PKR 713.22 million from PKR 662.83 million.
⬆️ Increase in Total Assets from PKR 786.32 million to PKR 810.51 million

🎯 Investment Thesis

BUY. D.M. Corporation Limited presents a compelling investment opportunity based on its improved financial performance in the year ended June 30, 2025. The significant increase in revenue, profitability, and EPS indicates a strong turnaround and growth potential. The company’s strategic focus on operational efficiency and market expansion is expected to drive further growth. Price target: PKR 25. Time horizon: Medium Term.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

announcements DWTM Signal: SELL

📉 DWTM: SELL Signal (8/10) – Transmission of Annual Report for the Year Ended June 30,2025

⚡ Flash Summary

Dewan Textile Mills Limited’s 56th Annual General Meeting announcement reveals a company grappling with significant financial challenges. Operational sales are nil due to a factory shutdown since December 2015. The company faces an adverse opinion from auditors regarding its ability to continue as a going concern, coupled with defaults in restructured liabilities. A restructuring proposal is pending with lenders, with management hopeful for a resolution.

Signal: SELL 📉

Strength: 8/10

Sentiment: NEGATIVE

Time Horizon: SHORT_TERM

📌 Key Takeaways

❌ Operations have been suspended since December 2015 due to industry challenges and working capital constraints.
📉 The company reported a loss after taxation of Rs. 126.36 million for the year ended June 30, 2025.
⚠️ Auditors express an adverse opinion on the going concern assumption.
🏦 Defaults in repayment of restructured liabilities have led to lenders filing execution suits.
🤝 The company is pursuing further restructuring of its liabilities with lenders.
🚫 No provision for markup amounting to Rs. 428.480 million was made in the financial statements.
🏛️ Certain lenders continue to pursue suits in the High Court for recovery of liabilities amounting to Rs. 419.065 million.
🌱 GDP is expected to grow by 3.6% in FY 202526, according to IMF estimates.
🌪️ Devastating monsoon floods in mid-2026 severely disrupted agricultural output and supply chains.
📉 The textile sector was particularly impacted by losses in the local cotton crop.
⚖️ The company is involved in legal disputes regarding Gas Infrastructure Development Cess Ordinance, 2014.
👨‍💼 Six Board meetings were held during the financial year ended June 30, 2025.
🔒 The share transfer books will remain closed from October 20, 2025, to October 27, 2025.

🎯 Investment Thesis

Given the very high levels of financial and operational risk, a SELL recommendation is warranted. There is no clear path to profitability or long-term sustainability, and investors should avoid this stock until significant and material improvements are made.

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Disclaimer: AI-generated analysis. Not financial advice.

Written by: FoxLogica News Analysis

Published on: October 6, 2025

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