Karachi: First Habib Modaraba (FHM) has announced its financial results for the fiscal year 2025-26, highlighting significant growth across several key financial metrics despite a challenging economic environment. The corporate briefing session held for the year underscored the company's resilience and strategic direction.

The report, dated October 6, 2026, reveals that the board meeting for the approval of financial statements for the year ended June 30, 2026, was conducted within 37 days. A 22.5% cash dividend was declared for June 2026, reflecting the company's commitment to delivering value to its shareholders.

FHM reported a profit before tax of Rs. 1.21 billion. Disbursements reached an unprecedented Rs. 21.8 billion, marking the highest level in the company's operational history. Financing assets also hit an all-time high, amounting to Rs. 40.1 billion. According to information available from the Pakistan Stock Exchange (PSX), FHM’s balance sheet footing reached approximately Rs. 41.7 billion. Additionally, deposits soared to Rs. 22.2 billion, surpassing previous records.

The company disbursed a total of 3,460 car units during the year, with total outstanding car units standing at 10,921.

A comparison of key financial data between 2026 and 2025 highlights a robust 20% increase in the balance sheet footing, reaching Rs. 41,727 million from Rs. 34,749 million. Financing assets grew by 23%, totaling Rs. 40,172 million, attributed to an increase in financing activities, which also contributed to an improved overall balance sheet. Disbursements for the period grew by 11% to Rs. 21,854 million, while deposit and borrowing levels rose by 23% to Rs. 33,193 million.

Despite these gains, the company experienced a 2% decrease in profit before tax, amounting to Rs. 1,217 million, primarily due to a decline in policy rates. Profit after tax saw a significant 17% decline, dropping to Rs. 748 million, mainly due to the impact of deferred taxation.

The company operates within the designated market category of financial services, continuing to build on its strategic initiatives to enhance growth and stability in the face of market volatility.