Karachi: Gadoon Textile Mills Limited has announced its financial results for the quarter ended September 30, 2025, displaying a series of financial activities that underscore the company's operational resilience in a challenging economic environment. The board meeting, held on October 24, 2025, concluded with decisions regarding capital distribution where no dividends or right shares were declared.
According to the company's condensed interim statement of financial position, Gadoon Textile Mills reported total assets of 73.38 billion rupees as of September 30, 2025. This marks an increase from the 71.12 billion rupees reported at the end of June 2025. The company's non-current assets stood at 36.31 billion rupees, while current assets were at 37.08 billion rupees. Despite the absence of any corporate action or entitlement, the financial performance remained robust.
The company’s total equity was reported at 24.47 billion rupees, compared to 23.91 billion rupees in June 2025. Meanwhile, the total liabilities amounted to 48.91 billion rupees. Notably, the current liabilities increased, with short-term borrowings contributing significantly to the overall liability structure.
Sales revenue for the quarter reached 19.73 billion rupees, up from 18.19 billion rupees during the same period last year. The cost of sales rose to 18.25 billion rupees, resulting in a gross profit of 1.48 billion rupees, a slight decline from the 1.57 billion rupees previously recorded. Operating expenses, including distribution and administrative costs, totaled 450.84 million rupees, impacting the profit margins slightly.
Finance costs for the quarter were 729.35 million rupees, while other operating expenses amounted to 59.38 million rupees. After accounting for these and other income sources, including a share of profit from associates amounting to 304.32 million rupees, the profit before tax was reported at 681.64 million rupees. This figure is lower than the 850.26 million rupees reported for the same quarter last year.
According to information available from the Pakistan Stock Exchange (PSX), Gadoon Textile Mills' net profit for the period was 561.27 million rupees, a decrease from the 583.93 million rupees recorded in the previous year. This corresponds to earnings per share of 20.02 rupees, down from 20.83 rupees.
Cash flows from operating activities were positive, with a net inflow of 731.55 million rupees, although significantly lower than the 6.92 billion rupees generated in the previous year. In contrast, the company experienced a net outflow of 1.83 billion rupees in investing activities, primarily due to the purchase of property, plant, and equipment.
The financing activities generated a net inflow of 3.29 billion rupees, reflecting a proactive approach in managing financial resources despite market challenges. The company ended the period with cash and cash equivalents at negative 15.80 billion rupees, an improvement from the negative 17.99 billion rupees at the beginning of the period.
In the context of market conditions, Gadoon Textile Mills' financial results for the quarter demonstrate a concerted effort to sustain operations and financial health amidst economic challenges. The company's focus on enhancing its asset base and managing liabilities reflects a strategic approach to navigating the complexities of the textile industry.