Karachi: Fateh Sports Wear Limited, a leading entity in the sportswear manufacturing sector, has released its annual report for the fiscal year ending June 30, 2026, highlighting a challenging year marked by halted production and no recorded sales. The company, which has been grappling with operational suspension, recorded an administration expense of Rs. 4.12 million. A significant foreign exchange loss of Rs. 11.10 million, due to a stuck amount of US$:2.000 million, contributed to a loss before taxation amounting to Rs. 15.76 million, which has been carried forward as a net loss. Consequently, the loss per share for the period stands at Rs. 7.88.
The absence of operational activities meant that a gender pay gap analysis was not applicable for the year. The company's management remains committed to an inclusive work environment, with future plans to uphold equal opportunity principles upon resumption of operations.
No dividend has been recommended for the year, reflecting the company's cautious stance in light of its current cash flow situation and business suspension. The board is focused on overcoming economic challenges, such as high inflation rates affecting essential goods, and aims to resume business activities once the stuck funds are recovered.
According to information available from the Pakistan Stock Exchange (PSX), the company has not engaged in any trading activities involving shares by its top executives and their relatives, indicating a stable shareholding pattern. The financial report further details that despite the challenges, the company's compliance with the Listed Companies (Code of Corporate Governance) Regulations-2019 has been maintained, with no significant doubts about its ability to continue as a going concern.
The report also notes that there have been no material changes affecting the company's financial position since the end of the fiscal year. While the company acknowledges its corporate and social responsibilities, plans for social welfare projects remain a future consideration.
The company's auditors, M/s. Clarkson Hyde Saud Ansari, Chartered Accountants, who are set to retire at the upcoming Annual General Meeting, have been recommended for reappointment for the year ending June 30, 2027. The audit committee and board of directors support this recommendation, underlining the ongoing commitment to financial transparency and governance.