Karachi: Burshane LPG (Pakistan) Limited has announced a significant financial turnaround for the nine months ending March 31, 2026, despite ongoing legal challenges. The company reported an impressive increase in sales volume and net sales, coupled with a notable profit shift, according to a recent Directors’ Report released on May 4, 2026.
The company’s sales volume rose to 10,238 metric tons, marking an increase of 4,498 metric tons, or 78%, compared to the same period last year. This growth was attributed to improved cash flow, efficient inventory management, and increased availability of local and imported products. Net sales surged by Rs. 841.732 million, reaching Rs. 2.014 billion, a 71.78% increase due to similar factors.
Gross margins also experienced a significant boost, increasing by Rs. 122.614 million to Rs. 165.706 million—an increase of 284.54% from the previous year. Administrative expenses decreased by 6.26% to Rs. 59.99 million, while distribution and marketing expenses slightly decreased by 4.07% to Rs. 33.727 million. Other income rose by 40.23% due to third-party LPG storage income and write-offs.
Financial costs decreased by Rs. 14.79 million, reflecting a decline in KIBOR rates and reduced markup from the repayment of a National Bank of Pakistan (NBP) loan. Consequently, the company’s profit before tax reached Rs. 105.76 million, an increase of Rs. 163.259 million from the previous year. The profit per share rose to Rs. 4.48, compared to a loss per share of Rs. 2.69 in the corresponding period last year.
According to information available from the Pakistan Stock Exchange (PSX), these financial improvements are noteworthy given the firm’s ongoing legal challenges. The Directorate of Investigation and Intelligence (Inland Revenue) filed a tax evasion complaint amounting to PKR 1.7 billion against Burshane LPG, leading to orders for freezing the company’s bank accounts and issuing arrest warrants for certain directors.
The company obtained protective bail and successfully challenged the freeze orders, with banks lifting the freeze after 90 days. Additionally, tax liabilities for 2018 and 2019, initially demanded at Rs. 609.79 million and Rs. 617.30 million respectively, were reduced to Rs. 172.05 million and Rs. 87.75 million. The Appellate Tribunal ruled in favor of Burshane LPG for both years, although the Tax Department has appealed the decision for 2018 in the High Court. The hearing remains pending.