Karachi: The Ghandhara Tyre and Rubber Company Limited has reported substantial financial losses for the fiscal year 2026, attributed to a notable decline in both gross and net sales, according to their recent corporate briefing session.

The company's report, dated October 27, 2026, reveals a decrease in gross sales from Rs. 21,872.0 million in FY2025 to Rs. 20,955.8 million in FY2026. This translates to net sales falling from Rs. 17,799.7 million in the previous fiscal year to Rs. 16,852.3 million in FY2026. The decline in net sales represents a minor move of -5.32% from the previous year.

Gross profit also saw a substantial reduction from Rs. 2,271.9 million to Rs. 1,510.1 million, which contributed to a decrease in profit from operations, dropping from Rs. 1,184.6 million to Rs. 380.2 million. The company faced a significant finance cost of Rs. 1,148.3 million compared to Rs. 1,351.0 million in FY2025, leading to a loss before all taxes of Rs. 735.4 million, compared to a loss of Rs. 150.3 million in the previous year.

According to information available from the Pakistan Stock Exchange (PSX), the company's financial performance resulted in a loss after tax of Rs. 1,006.8 million, a very large or significant move compared to the loss of Rs. 366.1 million in FY2025. This translated to a loss per share of Rs. 8.26, worsening from Rs. 3.00 per share in the previous year.

The EBITDA for FY2026 was recorded at Rs. 0.90 billion, a considerable decrease from Rs. 1.70 billion in FY2025, reflecting the challenges faced by the company in maintaining profitability amidst declining sales. The financial analysis also highlighted the continuing trend of fluctuating net sales over the years, with FY2026 marking a decrease from the previous year's Rs. 17.80 billion to Rs. 16.85 billion.

The company's performance in FY2026 underscores the challenges within the designated market category, as it navigates the complexities of the current economic environment.