Karachi: NBP Fund Management Limited has released its annual report for the NBP Islamic Principal Protection Fund - I, detailing the financial performance for the year ended June 30, 2026. The report, dated October 1, 2026, highlights notable developments in the fund's income and expenses, with particular attention to investment sales.

The income statement reveals a total income of 171.87 million Rupees, driven primarily by profits on bank balances and dividend income. The fund's profit on bank balances amounted to 216.13 million Rupees, with significant contributions from NIPPP-I and NIPPP-III at 68.23 million Rupees and 74.05 million Rupees, respectively. Dividend income totaled 19.68 million Rupees across all funds.

However, the fund faced challenges with a net loss of 81.97 million Rupees on the sale of investments, a very large or significant move. The most substantial losses were recorded in NIPPP-III, which alone contributed 55.63 million Rupees to the negative balance. Additionally, the net unrealized appreciation on re-measurement of investments classified as financial assets 'at fair value through profit or loss' stood at 17.93 million Rupees.

According to information available from the Pakistan Stock Exchange (PSX), the fund's total expenses reached 65.79 million Rupees. The remuneration of NBP Fund Management Limited, the management company, was the largest expense, totaling 45.90 million Rupees. Other expenses included trustee remuneration, sales tax, and transaction costs.

The net income from operating activities was reported at 106.08 million Rupees. After considering distributions, income already paid on units redeemed, and capital gains, the accounting income available for distribution was 96.26 million Rupees.

The statement of assets and liabilities indicates total assets of 5.21 billion Rupees, with bank balances alone comprising 4.75 billion Rupees. Investments totaled 423.37 million Rupees, while liabilities amounted to 78.04 million Rupees. The net assets were valued at 5.13 billion Rupees.

The fund's performance, marked by significant losses from investment sales, will be closely monitored by stakeholders as it navigates an uncertain economic landscape.