Karachi: Ali Asghar Textile Mills Limited has released its annual report for the financial year ending June 30, 2026, showcasing a robust performance marked by substantial revenue growth and a significant increase in net worth. The Board authorized these results on October 7, 2026, highlighting a notable year for the company.
The company's unconsolidated financial results, excluding its subsidiary Fazal Solar Energy, demonstrated a moderate move in revenue, rising by 15.4% to PKR 79.8 million from PKR 69.1 million in FY 2025. The cost of providing services also saw a moderate move, increasing by 16.4% to PKR 43.5 million. Despite these increases, administrative expenses were reduced by 23.9%, resulting in an improved operating loss, which narrowed to PKR 1.3 million from PKR 7.8 million the previous year.
A significant highlight of the report was the consolidated financial results, which for the first time incorporated Fazal Solar Energy's full year of operations. This inclusion led to a very large move in consolidated revenue, surging by 61.5% to PKR 111.6 million, driven primarily by Fazal Solar's electricity sales of PKR 31.8 million. The consolidated gross profit saw a big move, rising by 84.4% to PKR 59.0 million, with an operating profit of PKR 21.2 million achieved for the first time.
According to information available from the Pakistan Stock Exchange (PSX), the company's equity portfolio benefited from a 42% rally in the KSE-100 Index during FY 2026. This contributed to other income at the unconsolidated level, which saw a 12.0% increase to PKR 274.5 million.
The company's net worth surpassed the PKR 3 billion mark for the first time, driven by a profit of PKR 172.4 million and FVOCI gains of approximately PKR 381 million. This growth was partially offset by depreciation transfers from the revaluation surplus, resulting in a consolidated equity of PKR 3.06 billion.
In the sphere of banking, the company successfully diversified its relationships by onboarding Sindh Bank Limited and United Bank Limited, alongside its existing partner, JS Bank Limited. This strategic move aimed to reduce concentration risk and demonstrate prudent financial management.
Corporate governance also saw enhancements with the appointment of a new Independent Director and a qualified Company Secretary, in compliance with the Companies Act, 2017. The statutory auditors, RHZASR, were appointed, and the board remains fully compliant with regulatory requirements for listed companies.
Fazal Solar Energy, the wholly-owned subsidiary, completed its first full year of photovoltaic power generation, producing 1.4 million kWh of clean energy and exceeding internal targets. The solar operations contributed significantly to the company's consolidated revenue and environmental impact, displacing approximately 619 metric tonnes of CO2.
Ali Asghar Textile Mills Limited's strategic moves in expanding its solar operations and strengthening its financial and governance structures have positioned it for sustained growth and resilience in the coming years.