Karachi: Select Technologies Limited released its unaudited financial results for the quarter ending September 30, 2026, showing a substantial decline in profits compared to the same period last year. The report, dated October 26, 2026, highlighted a series of changes in the company’s financial position, notably a decrease in revenue and profit margins.

The company's revenue from contracts with customers fell sharply to 7.90 billion rupees from 11.33 billion rupees in the corresponding quarter of the previous year. This represents a drop that significantly impacted the gross profit, which decreased to 1.26 billion rupees from 1.81 billion rupees.

Administrative expenses for the quarter rose to 69.02 million rupees from 43.28 million rupees, which contributed to the decline in the operating profit, which was reported at 1.19 billion rupees, down from 1.77 billion rupees. Other income also saw a significant decrease, reaching 136.33 million rupees from 257.33 million rupees, while other expenses and finance costs remained on the higher side.

The profit before income tax stood at 708.67 million rupees, a notable drop from 1.38 billion rupees recorded in the previous year. After accounting for taxation of 15.67 million rupees, the company's profit for the period was 692.99 million rupees, down from 981.31 million rupees, marking a very large decline.

Earnings per share declined to 0.79 rupees from 1.23 rupees, reflecting the overall decrease in profit margins.

The statement of financial position revealed total assets of 41.93 billion rupees, an increase from 36.68 billion rupees in June 2026. This growth was driven by a rise in both non-current and current assets, with the latter reaching 28.34 billion rupees from 23.50 billion rupees in the previous quarter.

Share capital and reserves were reported at 15.43 billion rupees, up from 13.52 billion rupees in June 2026. The increase was attributed to a rise in issued, subscribed, and paid-up share capital, alongside the introduction of share premium reserves. However, unappropriated profit saw a decrease.

The company’s non-current liabilities decreased slightly to 2.57 billion rupees, while current liabilities increased to 23.93 billion rupees, driven by heightened short-term borrowings and payables to related parties.

According to information available from the Pakistan Stock Exchange (PSX), Select Technologies Limited operates within a challenging market environment, which has influenced its financial performance.

Overall, the financial results indicate that Select Technologies Limited is navigating through a period of financial challenges, marked by a very large decline in quarterly profits.