Lahore: Nestlé Pakistan Ltd. reported a decline in profit after taxation for the six-month period ending June 30, 2026, reflecting increased operational expenses. The financial results were approved by the company's Board of Directors at a meeting held on July 23, 2026.

The company recorded a profit after taxation of 9.98 billion rupees, a decrease from the 10.42 billion rupees reported in the corresponding period of the previous year. This decline is observed despite an increase in revenue from contracts with customers, which rose to 107.02 billion rupees from 101.29 billion rupees, representing a very large move of 5.65%.

The cost of goods sold increased to 65.49 billion rupees from 61.99 billion rupees, contributing to a rise in distribution and selling expenses to 18.32 billion rupees from 16.66 billion rupees. Administration expenses also showed a minor move, reaching 3.58 billion rupees from 3.54 billion rupees.

Operating profit showed a moderate move, increasing to 19.63 billion rupees from 19.10 billion rupees. The finance cost saw a decrease to 174.59 million rupees from 333.18 million rupees, while other expenses fell to 1.58 billion rupees from 1.63 billion rupees.

According to information available from the Pakistan Stock Exchange (PSX), the company's total assets stood at 96.00 billion rupees, up from 93.89 billion rupees as of December 31, 2025, indicating a moderate move. Current liabilities increased to 69.11 billion rupees from 65.77 billion rupees, while non-current liabilities rose to 7.25 billion rupees from 6.86 billion rupees.

The reduction in profit after taxation was also influenced by a significant increase in income tax, which amounted to 8.45 billion rupees compared to 6.82 billion rupees in the previous year. Earnings per share dropped to 220.04 rupees from 229.88 rupees, further highlighting the financial impact of rising expenses on the company's profitability.