Karachi: The Hub Power Company Limited (Hubco) announced significant developments in its electric mobility portfolio on September 5, 2025, while reporting a decline in its financial performance for the fiscal year ended June 30, 2025. The company continues to focus on expanding its footprint in Pakistan’s energy and electric vehicle (EV) sectors.
In a major boost to its electric mobility strategy, Hubco’s subsidiary, Hubco Green (Pvt.) Ltd., has been actively working on developing a robust EV charging network across Pakistan. As part of this initiative, the company signed collaboration agreements with Pakistan State Oil (PSO), PARCO Gunvor, and Attock Petroleum Limited to install EV chargers in major cities and along highways. The network has already established a presence on the Lahore-Islamabad Motorway, in collaboration with PSO. Plans are underway to install chargers every 150-200 kilometers along the motorway from Karachi to Peshawar over the next six months to alleviate range anxiety among EV users.
Simultaneously, Mega Motor Co. has successfully launched the BYD brand in Pakistan, introducing three models: Atto 3, Seal, and Shark 6. The response from the public has been overwhelmingly positive, with bookings surpassing expectations. The company has established Experience Centres and dealerships in Karachi, Lahore, and Islamabad and has commenced construction of a CKD assembly plant in Gharo, with an annual production capacity of 25,000 units.
Despite these strategic advances, Hubco’s financial results for FY 2025 showed a downturn. The company’s unconsolidated revenue dropped notably from the previous year, with a similar decline in net profit and earnings per share. Consolidated figures also reflected a downward trend. According to information available from the Pakistan Stock Exchange (PSX), this financial performance is classified as a very large or significant move due to the early termination of Hubco’s Power Purchase Agreement (PPA) during the year.
To mitigate the financial impact, Hubco used settlement proceeds to prepay debts, significantly reducing its finance costs. The company also optimized operating expenses following the closure of its Hub plant operations. Improved collections from power purchasers resulted in better cash flows across its power generation assets.
Hubco’s Thar plants, with a combined capacity of 660MW, contributed substantially to the national grid, offering substantial foreign exchange savings. Meanwhile, CPHGC, which operates a 1,320MW imported coal-based power plant, maintained its availability as required under its PPA and distributed a sizable dividend to shareholders after June 30, 2025.
The company remains committed to sustainability, having developed an ESG policy and engaged in environmental initiatives such as mangrove plantation and sustainable procurement. Hubco has aligned its sustainability reporting with international standards and regulations, reinforcing its commitment to environmental and social governance.
Despite the financial setbacks, Hubco’s strategic initiatives and focus on sustainable development position it to potentially capitalize on emerging opportunities within Pakistan’s evolving energy landscape.