Karachi: Burshane LPG (Pakistan) Limited has reported a notable increase in its financial performance for the year ended June 30, 2026, as detailed in a report released on September 11, 2026. The board of directors, during their meeting held through video conferencing, approved audited financial statements and announced a final cash dividend and bonus shares for the shareholders.
The company declared a final cash dividend of Rs. 1 per share, equivalent to 10%, for shareholders listed at the close of business on October 8, 2026. Additionally, a 20% bonus share issuance was announced, with entitlement based on records as of September 21, 2026.
The financial year saw Burshane LPG's sales volume rise by 56.34% to 12,919 metric tons, facilitated by timely financial backing from a sister concern. This increase in sales volume, along with higher LPG prices between March and June, drove net sales up by 71.32% to Rs. 2,841.47 million. Gross margins also rose significantly, reaching Rs. 298.244 million, reflecting a substantial increase from the previous year.
Despite the growth in sales and margins, the company's administrative expenses rose slightly to Rs. 81.060 million, while distribution and marketing expenses saw a reduction to Rs. 44.217 million. The financial cost decreased to Rs. 54.263 million, owing to the full repayment of the Demand Finance. Other income, however, declined significantly by Rs. 78.735 million due to reduced write-backs of old cylinder deposits. According to information available from the Pakistan Stock Exchange (PSX), the company's profit before tax increased by a significant Rs. 152.942 million, resulting in a profit per share of Rs. 7.99, compared to Rs. 1.31 in the previous year.
The LPG industry in Pakistan is experiencing growth, driven by increasing demand and a shift towards alternative energy sources. The company faces operational challenges due to regulatory bottlenecks and pricing mechanisms but remains poised for continued growth. The reliance on imported LPG is anticipated to rise, given the stagnant domestic production and increasing demand.
Burshane LPG navigated a complex financial landscape, including restructuring agreements with the National Bank of Pakistan and addressing allegations of tax evasion. The company's legal battles concluded favorably, with no pending tax demands or cases against it.
Looking forward, the company anticipates continued growth within the LPG sector, supported by policy shifts promoting cleaner fuels and infrastructure development. Despite external pressures such as pricing volatility and logistical disruptions, the company remains confident in its strategic positioning and operational resilience.
The report also highlights the company's adherence to health, safety, security, and environmental standards, as well as its commitment to corporate governance and social responsibility. The management emphasizes its preparedness to adapt to evolving market conditions, ensuring sustained operational capacity and long-term profitability.