Karachi: Hala Enterprises Limited has reported its financial results for the year ending June 30, 2026, revealing a slight decrease in net profit despite a significant increase in revenue. The financial report, dated October 5, 2026, indicates a net profit of 13.77 million rupees for the fiscal year, compared to 13.86 million rupees in the previous year.
The company's revenue for the year reached 848.20 million rupees, up from 553.56 million rupees in the prior year. This substantial revenue growth highlights an increase in business activities. However, the company's gross profit margin did not translate into a proportional increase in net profit due to a rise in operating expenses and finance costs.
According to information available from the Pakistan Stock Exchange (PSX), Hala Enterprises Limited's operating expenses increased significantly to 114.21 million rupees from 69.80 million rupees in the previous fiscal year. The increase in operating expenses, including selling, distribution, and administrative costs, impacted the overall profitability.
The company's operating profit showed a moderate move, rising to 42.31 million rupees from 40.95 million rupees. However, finance costs decreased to 19.43 million rupees from 27.30 million rupees, which helped mitigate the impact of rising expenses.
Hala Enterprises Limited's financial position as of June 30, 2026, showed total equity and liabilities amounting to 921.82 million rupees, a substantial increase from 691.96 million rupees in the previous year. The company's total assets also increased, with non-current assets rising to 433.97 million rupees from 322.47 million rupees.
Despite the revenue growth, the earnings per share declined slightly from 1.07 rupees to 1.06 rupees, reflecting the marginal decline in net profit. The company's board did not declare any cash dividend, bonus shares, or right shares for the fiscal year, maintaining the status quo on entitlements.
The report highlights the financial stability and ongoing business activities of Hala Enterprises Limited, despite the challenges posed by increased operational costs. The company's strategic focus on revenue growth has been evident, although cost management remains an area for potential improvement.