Karachi: AGP Limited has released its Half Yearly Report for the period ending June 30, 2026, indicating stable financial performance despite a challenging economic and geopolitical environment. The report was transmitted through PUCARS and is accessible on the company’s website.
The Board of Directors presented the unaudited standalone and consolidated interim financial statements for the six-month period. The economic context remains precarious with Pakistan's GDP growth at 3.7% for FY26, as per data up to August 28, 2026. The State Bank of Pakistan maintained the policy rate at 11.5% on July 27, 2026, observing an improved yet vulnerable macroeconomic outlook. Inflation slightly eased, and the current account deficit was recorded at USD 139 million, while foreign reserves stood at USD 17.3 billion. The geopolitical tensions surrounding the Iran-Israel/U.S. conflict have affected global oil prices and regional logistics, impacting cost structures.
AGP Limited reported net sales of PKR 9,134 million, a minor move of 0.5% compared to the same period last year. The company faced numerous operational challenges including inflation, geopolitical uncertainty, and reduced consumer spending. Despite these, AGP maintained disciplined expense controls and pursued growth initiatives. The net profit was reported at PKR 876 million, with earnings per share at PKR 3.13.
According to information available from the Pakistan Stock Exchange (PSX), the pharmaceutical company's subsidiary, OBS AGP (Private) Limited, recorded net sales of PKR 2,169 million, achieving a net profit of PKR 163 million. Meanwhile, OBS Pakistan (Private) Limited reported net sales of PKR 1,831 million, with a significant profit increase of 15.0% to PKR 437 million.
On a consolidated basis, AGP Limited’s net sales reached PKR 11,526 million, and the gross profit margin improved to 59.4%. The consolidated net profit stood at PKR 1,457 million, with earnings per share of PKR 5.21. The shareholders approved a Scheme of Arrangement for mergers and a name change to "OBS AGP Limited", pending legal and regulatory approvals, which aims to generate operational synergies and enhance shareholder value.
During the reporting period, AGP repurchased 1,300,000 shares, representing 0.46% of its capital, held as treasury shares. This move is part of the company's strategy for disciplined capital allocation and optimizing financial metrics.
Additionally, AGP Limited has initiated discussions for potential collaborations with CanSino Biologics Inc. and Shanghai United Cell Biotechnology Co. Ltd., exploring investments up to USD 100 million. These discussions align with AGP's strategy to expand into high-potential therapeutic areas and partnerships with international healthcare firms, pending due diligence and regulatory approvals.