Karachi: Al-Noor Sugar Mills Limited has reported a significant decrease in its financial performance for the period ending March 31, 2025, as detailed in its un-audited financial statements reviewed by statutory auditors. The company, listed in the designated market category of the Pakistan Stock Exchange (PSX), faced a challenging year with declines in both production and profit.

According to the report, sugarcane crushed by the mill dropped from 1,109,983 metric tons in the same period last year to 747,944 metric tons this year. Consequently, sugar production fell by 39.96 percent, from 119,117 metric tons to 71,515 metric tons. The sugar recovery percentage also declined from 10.73 percent to 9.56 percent. The reduced availability of raw materials and decreased crushing period contributed to this downturn.

Financially, the company’s sales revenue decreased to 7.47 billion rupees from 9.24 billion rupees in the previous year. The cost of sales also saw a reduction, amounting to 6.32 billion rupees compared to 7.62 billion rupees last year. The gross profit for the period stood at 1.15 billion rupees, down from 1.62 billion rupees. Administrative expenses rose slightly to 567.97 million rupees, while distribution costs increased to 117.80 million rupees.

Moreover, the financial cost decreased from 734.65 million rupees to 470.07 million rupees, and the share of profit from associate decreased to 55.98 million rupees. The company reported a loss of 25.69 million rupees for the period, a significant drop from the profit of 103.88 million rupees reported in the same period last year. Earnings per share declined from 5.07 rupees to a loss of 1.25 rupees per share.

According to information available from the Pakistan Stock Exchange (PSX), the MDF Board division also experienced a slight decline in production, manufacturing 35,725 cubic meters compared to 38,772 cubic meters during the same period last year.

Looking forward, the company anticipates an increase in the cane crop in the next season due to higher returns paid to growers, despite concerns over water shortages. Global economic factors, including recessionary trends and ongoing geopolitical conflicts, were cited as potential challenges. The management is actively seeking strategies to enhance the performance of sugar and MDF board divisions.

The Board of Directors remained unchanged during the period, and the directors acknowledged the dedication of stakeholders in sustaining operations.