Karachi: Masood Textile Mills Limited has released its mandatory Shariah disclosures for the fiscal year ending June 30, 2026, highlighting notable changes in its financial activities. The comprehensive report, dated October 1, 2026, outlines the company's adherence to Islamic financing principles, as mandated by Clause VII of Part I of Schedule IV of the Companies Act, 2017.
The textile giant reported a substantial increase in short-term borrowings under Islamic financing, reaching 5.21 billion rupees, a very large move from the previous year's 2.65 billion rupees. In contrast, long-term financing saw a decrease, falling to 1.90 billion rupees from 2.24 billion rupees, marking a moderate move.
Interest or mark-up accrued on conventional loans showed a decrease in short-term borrowings to 305.96 million rupees from 376.47 million rupees. Long-term financing interest remained relatively stable with a minor move, while the lease liability interest decreased to 9.65 million rupees from 12.37 million rupees, a moderate move.
According to information available from the Pakistan Stock Exchange (PSX), the company did not report any Shariah-compliant short-term investments for the year, a deviation from the 11.23 million rupees reported in 2025. Shariah-compliant bank deposits and balances also saw a significant drop to 13.23 million rupees from 151.32 million rupees, classifying this as a very large move.
Revenue from Shariah-compliant business segments amounted to 49.84 billion rupees, reflecting a decrease from the previous year's 59.20 billion rupees, indicating a big move in revenue.
In the realm of Shariah-compliant investments, dividend income slightly decreased to 710 thousand rupees from 1.38 million rupees. Additionally, profit from Shariah-compliant bank deposits fell to 11.09 million rupees from 32.51 million rupees, marking a significant move.
The report also detailed a breakdown of other income sources, including Shariah-compliant gains such as 83.02 million rupees from miscellaneous sources and 20.20 million rupees from the sale of scrap. Non-compliant income included an unrealized exchange gain on forward contracts totaling 53.40 million rupees.
Masood Textile Mills maintains relationships with several Shariah-compliant financial institutions, including Al Baraka Bank, Meezan Bank, and Dubai Islamic Bank, for various banking and financing needs. The disclosures underscore the company's continued efforts to align its financial practices with Islamic principles while navigating the complexities of the market.