Karachi: Exide Pakistan Limited has reported significant declines in its financial performance for the third quarter and the nine months ending December 31, 2025, amid challenging economic conditions and evolving market dynamics. The company’s net sales revenue for the third quarter decreased by 27.8 percent, falling from PKR 4.85 billion to PKR 3.50 billion, primarily due to reduced sales volumes and prices. Cumulative sales for the nine-month period witnessed a decline of 21.8 percent, dropping from PKR 18.665 billion to PKR 14.597 billion compared to the same period last year.
The economic landscape of Pakistan during fiscal year 2025 and early 2026 exhibited a strengthening of macroeconomic conditions, with external vulnerabilities diminishing and inflation decreasing significantly. However, challenges persisted as the trade deficit widened by 34.3 percent to US$19.2 billion in the first half of FY26. Exports fell by 8.7 percent to US$15.2 billion, while imports increased by 11.3 percent to US$34.4 billion. Home remittances showed healthy growth, rising by 10.6 percent to US$19.73 billion.
Within the automotive industry, the sector recorded a 40 percent increase in sales of cars, SUVs, pickups, and vans, totaling 65,310 units in the first half of FY26. This growth was supported by a stable macroeconomic environment, new product variants, lower interest rates, and improved consumer sentiment. However, the motorcycle and three-wheeler segment saw a 32 percent increase in sales, while tractor sales declined due to adverse weather conditions and weak farm economics.
According to information available from the Pakistan Stock Exchange (PSX), Exide Pakistan’s gross profit for the quarter under review decreased from PKR 0.862 billion to PKR 0.584 billion. The company’s selling and distribution expenses dropped by 39.6 percent, yet administration and general expenses rose by 16.53 percent. The operating profit recorded was PKR 0.188 billion, compared to PKR 0.266 billion in the previous year. Financial charges increased to PKR 193.62 million due to higher borrowings, and the company faced a loss before tax of PKR 7.40 million, down from a profit of PKR 87.40 million last year.
The company’s profitability was further impacted as the profit after tax for the quarter fell from PKR 54.048 million to a loss of PKR 48.458 million. Earnings per share also experienced a decline, moving from PKR 6.96 to a loss of PKR 6.24. For the nine-month period, profit after tax decreased from PKR 559.756 million to PKR 229.112 million, with earnings per share dropping from PKR 72.05 to PKR 29.49. Despite a decrease in financial charges paid and taxes, Exide Pakistan reported a net cash outflow from operating activities, as the cash flow from operations showed a significant outflow of PKR 3.031 billion.
The company’s financial position as of December 31, 2025, reflected current assets of PKR 14.969 billion and current liabilities of PKR 10.102 billion. The property, plant, and equipment were valued at PKR 2.20 billion, while trade debts amounted to PKR 5.51 billion. Net current assets stood at PKR 4.867 billion, with a long-term loan balance of PKR 165.88 million.
Exide Pakistan Limited’s financial results highlight the ongoing challenges faced by the company in an evolving economic environment, marked by shifts in fiscal conditions and market trends.