Karachi: The Board of Directors of Dandot Cement Company Limited has released its un-audited condensed financial statements for the first quarter ending September 30, 2026, revealing significant financial improvements over the previous year. The company, which is listed on the Pakistan Stock Exchange and specializes in the production and sale of cement, attributes its performance to a revival in construction activity and enhanced macroeconomic stability.
The report, dated November 2, 2026, highlights a notable increase in production and sales volumes. Clinker production rose to 115,786 metric tons from 111,920 metric tons, while cement production increased to 143,949 metric tons from 115,409 metric tons. Cement sales grew to 146,166 metric tons, up from 115,035 metric tons the previous year.
Financially, Dandot Cement reported gross sales of PKR 3.74 billion, up from PKR 2.68 billion, and net sales of PKR 2.49 billion compared to PKR 1.74 billion. Gross profit surged to PKR 324.13 million from PKR 186.23 million, and operating profit increased to PKR 291.29 million from PKR 162.11 million. The company achieved a net profit of PKR 124.16 million, a turnaround from the net loss of PKR 17.47 million recorded in the same period last year. Earnings per share improved to PKR 0.32 from a loss of PKR 0.06.
According to information available from the Pakistan Stock Exchange (PSX), Dandot Cement's gross sales saw a 39.5% increase, while net sales grew by 43.1%. Gross profit experienced a 74% rise, and operating profit increased by 79.7%, driven by improved operational efficiency and cost management. Despite these gains, the company noted that high input and finance costs, particularly coal prices, continue to pressure margins.
Strategically, Dandot Cement is focused on cost reduction and energy efficiency. The company has initiated a 5MW solar power project and a Waste Heat Recovery (WHR) system to enhance energy efficiency, reduce operating costs, and lower carbon emissions. These projects are expected to bolster long-term profitability and sustainability.
The domestic cement market showed robust performance with an 8.7% increase in dispatches, while export volumes declined by 11% due to the closure of the Pakistan-Afghanistan border in October 2025. Overall, the industry's sales volumes rose by 4.7%, driven by domestic demand.
Dandot Cement continues to navigate key risks such as energy cost volatility, Afghani border closure impacts, and retention price pressures. The company remains committed to optimizing its operations and aligning with government infrastructure initiatives to safeguard its market position amidst broader macroeconomic and geopolitical uncertainties.