Karachi: In its first full year of operations, Burj Clean Energy Modaraba (BCEM) has reported substantial growth, transitioning successfully from a start-up to an operational clean energy platform. According to the financial statements for the year ended June 30, 2026, released on October 6, 2026, the Modaraba has marked significant achievements in both its financial performance and its commitment to advancing sustainable energy solutions in Pakistan.
The Modaraba, which was listed on the Growth Enterprise Market (GEM) Board of the Pakistan Stock Exchange (PSX) in October 2024, stands as Pakistan's first Shariah-compliant green energy fund. BCEM was initiated with a paid-up capital of PKR 1 billion and successfully raised PKR 100 million through its initial offering of 10 million certificates at a fixed price of Rs. 10 each. The listing underscores BCEM's mission to lead in sustainable energy finance through Shariah-compliant financial solutions, focusing on investments in renewable energy projects like solar, wind, and energy efficiency solutions.
The financial year concluded with BCEM's total income from operations increasing significantly to PKR 249.58 million, a notable escalation from PKR 50.00 million in the previous year. This growth includes advisory income of PKR 140.00 million from its parent company concerning a 240MW hybrid wind and solar project in District Thatta, Ijarah rental income of PKR 72.30 million from its 7.5MW Power Cement wind asset, and management consultancy income of PKR 35.00 million from its subsidiary, Burj Solar Energy (Private) Limited. Income from diminishing musharaka financing contributed PKR 2.28 million. Other income totaled PKR 49.77 million, predominantly from bank deposit profits of PKR 30.95 million and a gain of PKR 18.82 million from the initial recognition of a financial liability.
Financial charges surged to PKR 79.26 million, up from PKR 0.36 million, mainly due to the drawdown of long-term financing for the wind project and the issuance of Short-Term Sukuk. Borrowing costs of PKR 152.55 million related to the wind project were capitalized during construction. After accounting for operating and administrative expenses of PKR 56.93 million, Modaraba Management Company remuneration of PKR 18.76 million, and Sindh Workers' Welfare Fund of PKR 2.94 million, BCEM recorded a profit before taxation of PKR 140.70 million, compared to PKR 54.96 million in the previous year.
According to information available from the Pakistan Stock Exchange (PSX), the profit after taxation marked a significant move upward by 112% to PKR 91.29 million, from PKR 43.03 million last year. Earnings per certificate increased to PKR 0.91, compared to PKR 0.43 in 2025. Total assets of the Modaraba grew to PKR 4,024.70 million, driven by the capitalization of the 7.5MW wind asset and short-term investments amounting to PKR 730.00 million. The expansion was facilitated by long-term financing of PKR 1,689.67 million and Short-Term Sukuk of PKR 1,015.95 million outstanding at year-end. Certificate holders' equity rose to PKR 1,128.04 million after a profit distribution of PKR 39.00 million for the period ended June 30, 2025.
On a consolidated basis, including the results of its wholly-owned subsidiary Burj Solar Energy (Private) Limited, BCEM's total income from operations reached PKR 362.52 million, reflecting a very large or significant move from PKR 144.55 million in 2025. The Group's profit before taxation was PKR 167.66 million, and profit after taxation was PKR 93.54 million, resulting in consolidated earnings per certificate of PKR 0.94. Consolidated total assets and certificate holders' equity stood at PKR 4,418.47 million and PKR 1,146.63 million, respectively.