Karachi: FrieslandCampina Engro Pakistan Limited, a subsidiary of FrieslandCampina Pakistan Holdings B.V., reported a 12.1% increase in revenue for the first half of 2026, reaching PKR 58.9 billion compared to PKR 52.5 billion in the same period last year. The figures were disclosed in the Directors' Report dated August 28, 2026.

The operating environment in the first half of 2026 presented challenges due to regional conflicts impacting shipment schedules and elevating freight costs. Domestically, inflationary pressures led to an increase in policy rates, affecting category affordability and demand. Despite these hurdles, the company achieved growth through a favorable portfolio mix and strategic brand investments.

According to information available from the Pakistan Stock Exchange (PSX), the company's financial performance was notably strong. The operating profit surged by 53.9%, totaling PKR 7.29 billion, and the profit after tax rose to PKR 4.40 billion, marking a 234% increase compared to the previous year's figures. Earnings per share also increased significantly from PKR 1.72 to PKR 5.74.

In the Dairy-Based Products segment, revenue reached PKR 50.2 billion, reflecting an 11.1% growth. This was achieved through strategic investments across various media platforms and in-store touchpoints, emphasizing value-added product offerings. Meanwhile, the Frozen Desserts segment, led by the Omore brand, experienced an 18.9% revenue growth, reaching PKR 8.6 billion. Innovations and marketing campaigns during festive occasions contributed to this growth.

The company continues to address taxation challenges in the packaged milk market, advocating for equitable policies to support public health and the documented dairy economy. The persistence of an 18% sales tax on UHT milk since July 2024 has kept the market below its pre-tax levels, highlighting the need for consistent engagement with government stakeholders to drive change.