Karachi: Pakistan Engineering Company Limited, a prominent entity in the engineering sector, disclosed substantial financial losses for the quarter ending September 30, 2023, according to its latest unaudited financial statement. The company reported a considerable decrease in net sales, along with a notable operating loss, reflecting challenges within the market.
According to the report released on June 12, 2026, the company's net sales for the three-month period ending September 30, 2023, were recorded at 6,300, a decline from 8,123 in the same period of the previous year. This decrease in sales contributed to a gross loss of 5,451, compared to a gross loss of 6,497 in the corresponding quarter of 2022.
The report highlighted that the cost of sales for the period was 11,751, down from 14,620 in the previous year. The company's administrative expenses were recorded at 10,735, a reduction from 13,090 in 2022. However, other operating charges surged to 15,865 from 318, impacting the overall financial performance significantly.
Operating loss for the quarter was reported at 31,765, contrasting with an operating profit of 23,937 in the previous year. This shift underscores the adverse conditions faced by Pakistan Engineering Company Limited in the current fiscal environment. The finance cost for the quarter increased to 3,339 from 2,099 in the previous year.
According to information available from the Pakistan Stock Exchange (PSX), the company's loss before taxation for the period stood at 35,183, compared to a profit before taxation of 14,162 in the same quarter last year. The taxation expense also increased to 5,261 from 1,394, leading to a loss after taxation of 40,444, a stark contrast to the profit of 12,768 reported in the prior year.
The basic and diluted loss per share was marked at 7.11 rupees, a significant move from the earnings per share of 2.24 rupees recorded in the previous year.
The company's financial position as of September 30, 2023, reflected total assets of 15.01 billion, slightly down from 15.02 billion as of June 30, 2023. The non-current assets accounted for 14.41 billion, while current assets were reported at 286.31 million. Equity and liabilities for the same period totaled 15.01 billion, in line with the total assets.
These figures highlight the financial difficulties confronted by Pakistan Engineering Company Limited, as it navigates a challenging economic landscape. The company's management has not yet disclosed any strategic measures to counter the losses reported in this quarter.