Karachi: The directors of Gammon Pakistan Limited have released their report for the first quarter ending September 30, 2026, detailing the company's financial performance amid persistent operational challenges in the construction sector. The report, dated November 2, 2026, outlines the company's efforts to navigate a difficult economic landscape marked by inflation and project availability issues.
The company, whose primary activities include the construction of buildings and bridges, reported no contract income for the quarter. Despite this, Gammon Pakistan Limited managed to reduce its net loss significantly, posting a profit before taxation of Rs. 0.669 million compared to a loss of Rs. 5.546 million in the same period last year. After accounting for taxation of Rs. 0.692 million, the company recorded a net loss of Rs. 0.022 million, a substantial improvement from the Rs. 5.649 million net loss reported in the previous year.
The improvement in the company's performance was attributed to increased other income and reduced general and administrative expenses. "According to information available from the Pakistan Stock Exchange (PSX)", the company's earnings per share remained unchanged at Rs. (0.00) in the current quarter, compared to Rs. (0.20) in the corresponding quarter of the previous year.
The construction sector in Pakistan continues to contend with cost pressures and uncertainties affecting the timing and availability of projects. The Pakistan Bureau of Statistics reported an inflation rate of 10.26% for September 2026 and an average inflation rate of 10.20% for the quarter from July to September 2026-27, exerting further pressure on the company's operating environment.
Gammon Pakistan Limited is actively engaging with relevant authorities to finalize billing and recover outstanding amounts related to the Old Bannu Road Structure and Bridges Project. The management remains committed to exploring suitable construction and infrastructure opportunities while maintaining financial discipline in a challenging market environment.