Karachi: Ecopack Limited, a prominent player in the packaging industry, has reported its financial results for the first quarter ending on September 30, 2026, revealing a decline in profit compared to the same period last year. The company disclosed a profit after taxation of 76.50 million rupees, down from 99.30 million rupees in the previous year, indicating a significant move of 22.98%.

The company's revenue from contracts with customers stood at 1.69 billion rupees, a decrease from last year's 1.89 billion rupees. After accounting for sales tax, the net revenue was reported at 1.43 billion rupees, down from 1.60 billion rupees in the prior year. This decline reflects the challenges faced by the company in maintaining its sales momentum.

The cost of sales was recorded at 1.14 billion rupees, compared to 1.33 billion rupees a year earlier, resulting in a gross profit of 290.87 million rupees, an increase from 270.53 million rupees. Despite the improved gross profit, higher expenses across various categories impacted the overall profitability.

Selling and distribution expenses rose to 54.47 million rupees from 46.74 million rupees, while administrative and general expenses increased to 51.49 million rupees from 43.34 million rupees. Other expenses decreased to 6.70 million rupees from 9.64 million rupees, with other income slightly increasing to 355,000 rupees from 28,000 rupees.

According to information available from the Pakistan Stock Exchange (PSX), Ecopack Limited's operating profit experienced a moderate move, climbing to 178.57 million rupees from 170.84 million rupees. However, the company's finance costs surged to 51.50 million rupees from 27.14 million rupees, contributing to the reduced profit before taxation of 127.08 million rupees, compared to 143.70 million rupees in the corresponding period last year.

The income tax expense for the quarter was 50.58 million rupees, up from 44.40 million rupees, further impacting the profit after taxation. The earnings per share for the period decreased to 1.59 rupees from 2.06 rupees.

These financial results underscore the economic pressures and rising costs facing Ecopack Limited, as the company navigates the complexities of the market environment.