Lahore: Hala Enterprises Limited has announced its financial results for the first quarter ending September 30, 2026, showcasing a significant rise in revenue and net profit, despite challenges in the international market. The report, dated November 4, 2026, reflects the company's strategic efforts to enhance production and consolidate its market position.
The company reported a substantial revenue increase of 31.5% to Rs. 222.55 million, up from Rs. 169.23 million in the same period last year. This growth was attributed to increased production and sales volumes, facilitated by improved utilization of expanded weaving facilities.
Gross profit for the quarter rose by 28.0% to Rs. 39.62 million, compared with Rs. 30.95 million in the corresponding period of 2025. The gross profit margin experienced a minor move, remaining relatively stable at 17.8%, compared with 18.3% in the previous year. The company maintained its focus on a pragmatic pricing strategy to secure larger export orders, which, while exerting pressure on selling prices, helped achieve higher production throughput.
Despite the significant increase in selling and distribution expenses due to elevated ocean freight rates and export-related charges, which impacted operating profitability, the company reported an operating profit of Rs. 12.03 million, a decline from Rs. 13.32 million in the previous year. Management has responded by incorporating higher freight and export-related costs into future pricing and commercial arrangements to protect operating margins.
According to information available from the Pakistan Stock Exchange (PSX), finance costs saw a very large decline of 40.8% to Rs. 4.77 million, compared with Rs. 8.05 million in the same quarter last year. As a result, net profit for the period experienced a very large move, increasing by 42.5% to Rs. 4.52 million, up from Rs. 3.17 million previously. Earnings per share also improved to Rs. 0.35 from Rs. 0.24.
Hala Enterprises Limited operates in the designated market category of textiles and remains focused on navigating the competitive landscape while continuing its expansion initiatives.