Lahore: On October 6, 2026, First Capital Securities Corporation Limited (FCSC) presented its annual report for the financial year 2026, revealing a substantial increase in profitability. The company's principal business activity, equity investments, saw revenue rise to Rs. 1,584.368 million, up from Rs. 1,521.771 million in the previous year, resulting in an enhanced earnings per share of Rs. 4.10, compared to Rs. 3.75 last year.
Operating expenses for FCSC increased moderately from Rs. 14.715 million to Rs. 18.882 million. However, a notable decrease in finance and other costs to Rs. 243.425 million from Rs. 319.375 million positively influenced overall profitability. Despite the favorable financial performance, FCSC continues to address a net current liability position, with liabilities surpassing assets by Rs. 3,662.690 million as of June 30, 2026. The management remains committed to improving liquidity and managing obligations through strategic measures.
According to information available from the Pakistan Stock Exchange (PSX), the company anticipates a positive impact on its financial performance from economic stability and favorable trends in the stock market. The management is negotiating with lenders and a third party for the sale of pledged investment properties to resolve financial obligations related to a diminishing Musharaka agreement.
In other developments, the Board of Directors approved additional equity investment in Pace Barka Properties Ltd up to Rs. 1.5 billion, pending necessary approvals. The board also sanctioned the sale of shares in subsidiaries First Capital Investment Limited and Ever Green Water Valley (Pvt.) Limited, subject to regulatory and shareholder consents.
Performance of key investments varied, with First Capital Equities Limited (FCEL) reporting a profit after tax of Rs. 44.62 million, a decline from Rs. 171.36 million in the prior year. Lanka Securities (Private) Limited reported a profit after tax of LKR 286.395 million, up from LKR 118.451 million last year. First Capital Investments Limited posted a profit of Rs. 43.31 million, an improvement from Rs. 31.66 million previously. Meanwhile, Evergreen Water Valley (Pvt.) Limited experienced a significant increase in net sales by 246.7% to Rs. 1,313.964 million, though it still recorded a net loss after tax of Rs. 193.416 million.
The company continues to uphold its corporate social responsibility, emphasizing a harmonious work environment and robust internal controls. The Board of Directors, alongside the Audit Committee, regularly reviews internal audit reports to satisfy internal control requirements. Focused on risk management, FCSC has formed a Risk Management Committee to proactively manage business risks.
Despite not recommending any payout or dividend for the year, the company remains optimistic about future growth and profitability. The financial statements reflect adherence to international accounting standards, ensuring transparency and fairness in reporting.