Karachi: MCB Investment Management Limited has reported its financial results for the quarter ending September 30, 2026, revealing a significant downturn in performance compared to the same period last year. The Pakistan Capital Market Fund, a component of the company's portfolio, experienced a notable decrease in income, primarily driven by re-measurement losses and reduced dividend income.
The total income for the quarter was recorded at a loss of 29.39 million rupees, a stark contrast to the 189.69 million rupees reported in the corresponding quarter of 2025. This represents a very large or significant move in the fund's financial outcome. The unrealized diminution on re-measurement of investments classified as 'at fair value through profit or loss' was a primary factor, amounting to a loss of 43.23 million rupees, compared to an appreciation of 161.85 million rupees in the prior year.
Dividend income also saw a decrease, falling to 5.85 million rupees from 7.87 million rupees, while profit on bank deposits increased to 8.36 million rupees from 5.84 million rupees, offering a moderate move. According to information available from the Pakistan Stock Exchange (PSX), the fluctuations in these income streams are reflective of broader market trends in the designated market category.
Operating expenses for the management of the fund increased to 9.91 million rupees, up from 8.77 million rupees in the previous year. This includes the remuneration of the management company, Sindh sales tax, and other associated costs. Despite the rise in expenses, the absence of taxation adjustments left the net loss for the quarter at 39.29 million rupees, contrasting sharply with a net income of 180.92 million rupees in the same quarter of the last year.
The fund did not allocate any net income for distribution this period, compared to 178.56 million rupees allocated in the previous year, which included capital gains and income excluding capital gains. The financial report, dated October 20, 2026, underscores the challenges faced by MCB Investment Management Limited in navigating the capital market's volatile landscape during this quarter.