Karachi: The Directors of TPL REIT Management Company Limited have released their quarterly report for the period ending September 30, 2026, highlighting a reduction in net losses amid a challenging economic environment. The report provides insights into the company's operations, financial results, and market conditions.
According to the report dated November 5, 2026, the company's net loss after tax for the quarter was PKR 122.08 million, a significant improvement from the PKR 236 million loss reported in the same period last year. This translates to a loss per unit of PKR 0.07. Total operating expenses amounted to PKR 143.8 million, down from PKR 162.26 million in the previous year, with management fees accounting for PKR 127.6 million.
The broader economic landscape showed a cautiously optimistic outlook with a revised GDP growth rate for FY26 of 3.65%, as reported by the National Accounts Committee. Large-scale manufacturing (LSM) growth was adjusted to 5.0%, while headline inflation averaged 10.2% in the first quarter of FY27. The State Bank of Pakistan (SBP) maintained the policy rate at 11.5% before raising it by 50 basis points to 12% in October 2026 due to inflationary pressures from rising energy costs.
The fiscal deficit for FY26 was recorded at 2.6% of GDP, with the Federal Board of Revenue (FBR) surpassing its quarterly target by collecting PKR 3,083.5 billion in 1QFY27. Sales tax collections increased by 11% to PKR 1,137 billion, while income tax collections rose by 5% to PKR 1,437 billion.
The current account deficit expanded to USD 874 million in 1QFY27, a 15.1% increase from the previous year. Despite the widening trade deficit, remittances grew by 14% to USD 10.9 billion, and foreign direct investment rose by 19.9% to USD 720 million. According to information available from the Pakistan Stock Exchange (PSX), the KSE-100 Index experienced a significant decline of 5.7% in 1QFY27, closing at 169,969 points, marking its weakest July-September performance since 1QFY18.
In the real estate market, lower transaction taxes under the Finance Act, 2026 boosted demand, with residential prices in major cities rising by 10%-15% following the budget. Under the Apna Ghar scheme, banks approved PKR 426 billion in housing loans, disbursing PKR 76 billion by the end of the quarter. Cement dispatches also increased by 8% year-on-year to 10.8 million tons.
The report also details the valuation of TPL's held-for-sale properties, including a commercial plot in Karachi's Korangi Industrial Area valued at PKR 2,254 million and a property at the corner of Abdullah Haroon Road and Hoshang Road, Karachi, valued at PKR 3,000 million. Additionally, the National Management and Consultancy Services' 40-acre commercial property in Korangi Creek, Karachi, is valued at PKR 30,241 million.
The October launch of Saima Mangrove Residences was met with strong demand, with Towers 1 and 2 fully sold out. Piling work is underway at Tower-1, and the first block of TPL offices is expected to be completed by February 2027.
PACRA Credit Rating Company has assigned a REIT Fund Rating of RFR 3+ (Developing Outlook) to the Fund and a REIT Manager Rating of RM 3+ (Stable Outlook) to the Management Company.