Engro Holdings Limited (PSX: ENGROH) reported a strong financial performance for the year ended December 31, 2025, posting a net profit of Rs107.30 billion, more than doubling compared to Rs43.58 billion in 2024. Earnings per share (EPS) rose sharply to Rs46.20 from Rs26.78, reflecting a 72.52% increase year-on-year. The results underscore the company’s operational strength and strategic gains amid market challenges.
Revenue for the year reached Rs598.36 billion, up 10.77% from Rs540.17 billion in 2024. While gross profit declined slightly by 3.30% to Rs147.69 billion due to a 16.32% rise in the cost of revenue to Rs450.67 billion, operational efficiencies and revaluation of assets significantly contributed to overall profitability. Selling and distribution expenses increased by 10% to Rs17.63 billion, and administrative expenses grew 4.59% to Rs15.50 billion.
Other income fell sharply by 56.08% to Rs12.01 billion, while other operating expenses surged 43.61% to Rs11.45 billion. Despite these pressures, Engro Holdings’ operating profit rose 60.51% to Rs175.59 billion, largely supported by adjustments in carrying value and remeasurement gains on thermal assets. The company’s finance costs increased by 10.59% to Rs44.93 billion, while income from joint ventures and associates jumped 164.31% to Rs8.97 billion.
Profit before tax, minimum tax, and final tax increased 93.49% to Rs139.63 billion, with minimum and final tax more than doubling to Rs8.64 billion. Profit before income tax climbed 92.71% to Rs130.99 billion, with the effective income tax slightly lower at Rs23.68 billion, down 2.92%. Profit from continuing operations was Rs107.30 billion, while losses from discontinued operations narrowed to Rs0.27 billion, reflecting improved operational focus and business continuity.
The company’s performance highlights the significant impact of asset revaluation on earnings, with adjustments to thermal assets contributing substantially to operating profits. Despite a marginal decline in gross margins due to increased cost of revenue, Engro Holdings’ strategic management of expenses, operational efficiency, and enhanced income from associates helped drive overall growth.
The financial results demonstrate resilience amid market volatility and rising input costs, underlining Engro Holdings’ position as a leading conglomerate in Pakistan’s corporate sector. The company continues to focus on optimizing operational performance, strategic investments, and long-term shareholder value, balancing revenue growth with cost management to sustain profitability.
Analysts noted that the doubling of net profit and strong EPS growth signals robust fundamentals, while the increase in revenue and operational gains positions the company well for continued performance in 2026. With strategic initiatives and asset management measures in place, Engro Holdings remains a key player in Pakistan’s industrial and investment landscape, reflecting both market leadership and financial discipline.
Overall, the 2025 results reflect a successful year for Engro Holdings, combining revenue growth, operational efficiency, and strategic asset management to achieve record profitability, enhance shareholder returns, and strengthen its corporate standing in Pakistan’s economy.
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