Karachi: Gharibwal Cement Limited has announced its audited financial results for the fiscal year ending June 30, 2026, highlighting a notable revenue increase but also encountering challenges in profitability due to rising costs. The company's financial performance, detailed in a corporate briefing session, provides a comprehensive overview of its operations and market dynamics over the past year.
The report, dated November 11, 2026, reveals that Gharibwal Cement's net revenue for the year amounted to Rs 22.31 billion, marking a 13.3% increase from the Rs 19.69 billion recorded in 2025. This growth was driven by a 17.3% increase in cement dispatches, totaling 1.432 million tons, a significant rise from the previous year's 1.220 million tons. Despite the strong volume growth, the company faced retention pressure, with net retention per ton decreasing by 3.4% to Rs 15,582 per ton.
According to information available from the Pakistan Stock Exchange (PSX), Gharibwal Cement experienced a big move in its financial metrics. The gross profit declined by 8.2%, from Rs 4.59 billion in 2025 to Rs 4.21 billion in 2026, while EBITDA saw a decrease of 7.5%, landing at Rs 4.44 billion compared to Rs 4.80 billion in the previous year. The earnings before interest and taxes (EBIT) also fell by 9.9% to Rs 3.13 billion.
The company's profit before tax showed a moderate move with a 3.6% decline, reaching Rs 3.46 billion from Rs 3.59 billion in 2025. However, a more efficient tax strategy allowed Gharibwal Cement to report a net profit of Rs 2.35 billion, a 6.3% increase from the Rs 2.20 billion recorded the previous year. The earnings per share (EPS) also mirrored this upward trend, rising by 6.3% to Rs 5.86.
Despite the revenue growth, Gharibwal Cement's profitability was adversely affected by higher costs, particularly due to its strategic pivot towards higher-cost imported coal amid ongoing geopolitical tensions. This shift resulted in a significant compression of margins, with the gross profit margin narrowing by 4.43 percentage points to 18.87%, and the EBITDA margin declining by 4.49 percentage points to 19.93%.
Gharibwal Cement's strategic focus remains on maintaining its brand strength, with its premium positioning of Paidar Cement (Ordinary Portland Cement) continuing to uphold market resilience despite the challenging economic landscape. As the company navigates these pressures, it remains focused on optimizing its operational efficiencies and strategic market positioning in the designated market category.