EPCL posts Rs1.6bn profit turnaround in 1HCY26
Engro Polymer & Chemicals Limited reported a significant financial turnaround in the first half of 2026, moving from a net loss to a profit of Rs1.63 billion. The recovery was driven by improved gross margins and a substantial increase in secondary income.
Why it matters
The report provides insight into the economic performance of a major industrial player in the Pakistani market.
MG News | August 17, 2026 at 09:40 AM GMT+05:00
August 17, 2026 (MLN): Engro Polymer & Chemicals Limited (PSX: EPCL) staged a remarkable financial turnaround for the half-year ended June 30, 2026 (1HCY26), reporting a consolidated net profit of Rs1.63bn.
This represents a complete recovery from the net loss of Rs3.23bn recorded in the corresponding period last year.
Reflecting this sharp return to profitability, the company's basic earnings per share (EPS) turned positive at Rs1.79 (diluted: Rs1.35), compared to a basic loss per share of Rs3.55 in 1HCY25.
The primary catalyst for the turnaround was a significant recovery in gross margins, supported by modest top-line revenue growth.
Net revenue from contracts with customers increased by 4% year-on-year to Rs39.26bn, up from Rs37.61bn.
Meanwhile, the cost of sales declined by 5% to Rs34.68bn, enabling the company to expand its gross profit nearly four-fold to Rs4.58bn compared to Rs1.20bn in 1HCY25.
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