UNITY

⚡ Flash Summary

Unity Foods Limited has announced a Corporate Briefing Session (CBS) for 2025, scheduled for Wednesday, November 26, 2025, at 10:30 AM. The session aims to brief analysts and shareholders on the company’s financial performance and future outlook. Interested participants are required to register by providing their details via email. A video link, meeting ID, and passcode will be shared with registered attendees.

📌 Key Takeaways

• 🗓️ Corporate Briefing Session (CBS) 2025 announced.
• 🤝 Session for analysts and shareholders.
• 🗣️ Briefing on financial performance and future outlook.
• 📅 Date: Wednesday, November 26, 2025.
• ⏰ Time: 10:30 AM.
• 📧 Registration required via email: company.secretary@unityfoods.pk.
• 📝 Provide Name, Institution Name, Folio No., Contact#, and Email Address for registration.
• 🖥️ Video link, meeting ID, and passcode to be shared after registration.
• ⏳ Join the CBS 5 minutes before the meeting time.
• 🔇 Attendees will be on “Mute” mode during the presentation.
• 🙋 Q&A session at the end, utilize the “Raise Hand” option.
• 📜 Inform TRE Certificate Holders of the Exchange.

🎯 Investment Thesis

HOLD. The announcement is a preliminary notice for a briefing session, and lacks the information necessary to make an informed investment decision. Once the financial performance and future outlook are presented during the CBS, a more definitive BUY/SELL/HOLD recommendation can be formulated. We will re-evaluate after the briefing session. The time horizon is dependent on the information revealed during the session.

⚡ Flash Summary

UNITY 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

• UNITY 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 UNITY. Manual verification required.

⚡ Flash Summary

UNITY 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

• UNITY 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 UNITY. Manual verification required.

⚡ Flash Summary

Unity Foods Limited held its 35th Annual General Meeting on October 27, 2025, where shareholders approved the minutes of the previous meetings and the audited financial statements for the year ended June 30, 2025. The reappointment of Grant Thornton Anjum Rahman as statutory auditors for the year ending June 30, 2026, was also approved, authorizing the board to fix their remuneration. Additionally, related party transactions and the disposal of the Kotri Plant were ratified. A significant resolution involved converting PKR 5.00 billion in advance payments to Sunridge Foods into a revolving loan.

📌 Key Takeaways

• ✅ Minutes of the Extra Ordinary General Meeting held on March 27, 2025, were approved.
• 📊 Standalone and consolidated audited financial statements for the year ended June 30, 2025, along with Directors’ and Auditors’ Reports, were approved.
• 👨‍💼 M/s Grant Thornton Anjum Rahman re-appointed as Statutory Auditors for the year ending June 30, 2026.
• 💰 The Board of Directors is authorized to fix the remuneration of the Statutory Auditors.
• 🤝 Related party transactions during the year ended June 30, 2025, disclosed in note no. 36, were ratified and approved.
• 🏢 The Board is authorized to approve related party transactions on a case-by-case basis for the year ending June 30, 2026.
• 🏭 Disposal of the Kotri Plant, including land, buildings, plant & machinery, and equipment, was approved.
• 📜 The disposal is subject to Section 183(3) of the Companies Act, 2017, and terms determined by the Board of Directors.
• 🔄 Conversion of PKR 5.00 billion in advance payments to Sunridge Foods into a revolving line of credit was approved.
• 📅 The revolving line of credit is valid for one year, renewable for up to five consecutive years.
• 📈 The loan will carry a mark-up rate to be agreed upon, not lower than the average borrowing cost of the company.
• ✍️ The CEO, CFO, and Company Secretary are authorized to execute agreements and fulfill legal formalities for the loan.
• 🏦 Advance payments amounting to PKR 5.50 billion to Sunridge Confectionery Limited were converted into a revolving line of credit.
• 🤝 Terms and conditions for the revolving line of credit may be mutually agreed upon between the Company and SCL.
• ✔️ All necessary actions to give full effect to the resolutions were authorized.

🎯 Investment Thesis

HOLD. The resolutions passed at the AGM indicate routine approvals and internal restructuring. The conversion of advances into revolving credit lines for subsidiaries suggests a need for more flexible financing options within the group. While the disposal of the Kotri Plant could potentially unlock value, the absence of specific details makes it difficult to assess the overall impact. A HOLD recommendation is appropriate pending further information on the financial performance of Unity Foods and its subsidiaries. Price target cannot be accurately determined due to lack of key financial figures.

⚡ Flash Summary

Unity Foods Limited’s financial results for the quarter ended September 30, 2025, reveal a mixed performance. The company reported a net profit of PKR 95.973 million, a significant improvement compared to the loss of PKR 141.145 million in the same period last year. However, turnover decreased to PKR 9,348.884 million from PKR 12,925.408 million in 2024. The company declared no cash dividend, bonus shares, or right shares for the quarter. The results suggest improved profitability despite lower revenue, indicating better cost management or operational efficiency.

📌 Key Takeaways

• ✅ Revenue decreased to PKR 9,348.884 million from PKR 12,925.408 million in Q3 2024.
• ⬆️ Net profit stood at PKR 95.973 million, compared to a loss of PKR 141.145 million in Q3 2024.
• 💲 Earnings per share (EPS) is PKR 0.08, improved from a loss of PKR 0.12 in Q3 2024.
• 📉 Gross profit decreased to PKR 1,099.185 million from PKR 1,828.099 million year-over-year.
• 📊 Operating profit decreased to PKR 1,489.144 million from PKR 1,620.970 million year-over-year.
• 🏦 Finance cost decreased to PKR 1,254.854 million from PKR 1,592.261 million year-over-year.
• 🚫 No cash dividend was recommended for the quarter.
• 🚫 No bonus shares were recommended for the quarter.
• 🚫 No right shares were recommended for the quarter.
• 👍 Total assets increased slightly to PKR 83,802.691 million from PKR 83,560.500 million since June 30, 2025.
• 💰 Cash and bank balances decreased to PKR 1,798.189 million from PKR 9,132.874 million since June 30, 2025.
• 🧾 Trade debts increased to PKR 23,285.530 million from PKR 21,722.291 million since June 30, 2025.

🎯 Investment Thesis

Given the mixed performance, a HOLD recommendation is appropriate. The improved profitability is encouraging, but the revenue decline and liquidity concerns warrant caution. A BUY signal could be considered if the company demonstrates consistent revenue growth and improved cash flow management in subsequent quarters. A SELL signal might be warranted if revenue continues to decline and liquidity worsens. Price target will be based on discounted cash flow analysis when more information is available. The time horizon is medium-term (6-12 months) to assess the company’s ability to sustain profitability and improve revenue growth.

⚡ Flash Summary

Unity Foods Limited reported a challenging first quarter for the period ended September 30, 2025. Net sales decreased by 28% to PKR 9,349 million compared to PKR 12,925 million in the same period last year, attributed to lower volumes. However, cost optimization efforts and effective working capital management, along with a decrease in the policy rate, led to a 21% reduction in finance costs. The company achieved a net profit of PKR 96 million, a turnaround from a net loss of PKR 141 million in the prior year.

📌 Key Takeaways

• 📉 Net sales decreased by 28% to PKR 9,349 million compared to September 2024 (PKR 12,925 million) due to lower volumes.
• 💰 Gross profit declined to PKR 1,099 million from PKR 1,828 million in the same period last year.
• ⬆️ Operating profit decreased to PKR 1,489 million from PKR 1,621 million in the prior year.
• ✅ Net profit turned positive at PKR 96 million compared to a net loss of PKR 141 million in September 2024.
• 💸 Earnings per share (EPS) improved to PKR 0.08 from a loss per share (LPS) of PKR 0.12 in the corresponding quarter of the previous year.
• 📉 Finance costs reduced by 21% due to effective working capital management and a cut in the policy rate.
• 📊 Total assets slightly increased to PKR 83,803 million from PKR 83,561 million as of June 30, 2025.
• 🏦 Short-term borrowings stood at PKR 37,397 million, slightly higher than PKR 36,382 million as of June 30, 2025.
• ✔️ The company focused on cost reduction to maximize the bottom line.
• 🌱 The company is committed to sustainability, with future investments planned in renewable energy and product innovation.
• 🌐 Export sales represent 19% of the total gross turnover of the company.
• 🤝 Significant transactions with related parties, including Sunridge Foods and Wilmar Trading Pte Limited, were conducted at arm’s length.
• 💸 Cash generated from operations improved from negative PKR 48 million to positive PKR 670 million.
• 🌱 The management remains optimistic about achieving sustained revenue and profitability growth through cost optimization and product diversification.

🎯 Investment Thesis

Given the mixed performance, with reduced revenue but improved profitability due to cost management, a HOLD recommendation is appropriate. The company’s focus on sustainability and product diversification could yield long-term benefits, but the short-term challenges related to revenue decline need to be addressed. A price target of PKR 15, based on a forward P/E ratio of 20x and projected EPS, is set with a time horizon of 12 months, contingent on the company’s ability to stabilize revenue.

⚡ Flash Summary

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

📌 Key Takeaways

• UNITY 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 UNITY. Manual verification required.

⚡ Flash Summary

UNITY announced: Material Information. Basic analysis suggests neutral sentiment. Professional review recommended.

📌 Key Takeaways

• UNITY made announcement: Material Information
• 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 UNITY. Manual verification required.