Lahore: LSE Financial Services Limited ("LSEFSL"), a key player in the financial services sector, held a Board of Directors meeting on October 2, 2026, where the financial results for the year ended June 30, 2026, were approved. The company reported significant changes, including the disposal of its 36% equity stake in Digital Custodian Company Limited.
The financial statements highlighted a decline in both non-current and current assets, with total assets standing at 278.27 million rupees, down from 489.18 million rupees the previous year. The company's investments in associates saw a marked decrease from 384.78 million rupees in 2025 to 155.74 million rupees in 2026. Cash and bank balances also declined to 2.51 million rupees from 10.03 million rupees.
The equity and liabilities section reflected a reduction in issued, subscribed, and paid-up share capital, now at 270.00 million rupees compared to 356.78 million rupees the previous year. Additionally, the share premium fell to zero from 31.36 million rupees, and the fair value reserve shifted to a negative 51.81 million rupees from a positive 2.90 million rupees.
According to information available from the Pakistan Stock Exchange (PSX), LSEFSL did not declare any cash dividends, bonus shares, or right shares for the financial year. The company has arranged its Annual General Meeting for October 28, 2026, at the Exchange Plaza in Lahore. The share transfer books will be closed from October 21 to October 28, 2026.
The company's revenue experienced a moderate move, decreasing to 29.65 million rupees from 30.79 million rupees. Administrative and general expenses rose significantly, reaching 73.72 million rupees from 39.82 million rupees, contributing to an operating loss of 44.07 million rupees, compared to a loss of 9.03 million rupees the previous year.
Other income and the share of post-tax profits of associates also saw reductions. Notably, finance costs increased to 4.08 million rupees from 223,000 rupees, impacting the profit before levy and taxation, which stood at a loss of 41.12 million rupees compared to a profit of 24.17 million rupees in 2025. After accounting for taxation, the company reported a net loss of 28.95 million rupees for the year, a significant move from the profit of 18.19 million rupees reported in 2025.
The earnings per share reflected these changes, with a loss of 0.98 rupees per share, contrasting with a profit of 0.51 rupees per share the previous year.