Karachi: The Board of Directors of Asim Textile Mills Limited has released the annual report for the fiscal year ending June 30, 2026, revealing a decline in profit amid ongoing challenges within Pakistan's spinning sector. The report, dated October 7, 2026, presents the company's audited financial statements and the auditors' report.

The fiscal year saw Asim Textile Mills navigating a difficult business landscape characterized by high input costs and competitive pressures. Sales for the year reached Rs. 2,042.149 million, a decrease from Rs. 2,181.698 million the previous year. The company's gross profit also declined to Rs. 60.730 million from Rs. 90.258 million in FY 2025.

According to information available from the Pakistan Stock Exchange (PSX), the company's profit after tax for FY 2026 was Rs. 12.017 million, down from Rs. 19.875 million in the prior year, indicating a significant move in financial performance. Earnings per share fell to Rs. 0.79 from Rs. 1.31.

The spinning sector continues to grapple with regionally uncompetitive energy costs, volatile raw cotton prices, and subdued export demand, which have exerted pressure on operating margins. In response, Asim Textile Mills focused on cost rationalization, energy efficiency, and optimizing its product mix toward higher-value yarns to sustain operations and preserve liquidity.

Despite the challenges in the designated market category, the company remains committed to navigating the difficult business environment through strategic initiatives aimed at enhancing capacity utilization and maintaining strict cost controls.