Karachi: International Packaging Films Limited (IPAK) has released its quarterly report for the period ending September 30, 2026, revealing a notable increase in consolidated sales, despite challenges in domestic markets and rising raw material costs. According to the directors' review report, the company's consolidated sales grew by 9.2%, reaching PKR 11.13 billion compared to PKR 10.19 billion in the same period last year.

The report, dated October 30, 2026, details that gross profit for the quarter amounted to PKR 1.62 billion, down from PKR 1.75 billion in 2025. Operating profit also saw a decline, standing at PKR 1.31 billion compared to the previous year's PKR 1.43 billion. The shifts in sales mix, with lower domestic market sales and increased export sales, alongside higher raw material costs, have impacted margins.

According to information available from the Pakistan Stock Exchange (PSX), the company's finance costs decreased by 15.7%, attributed to reduced borrowings supported by internal cash generation. Profit before income tax was recorded at PKR 882 million, slightly lower than the PKR 928 million reported in 2025. Profit after taxes remained almost unchanged at PKR 705 million compared to PKR 704 million the previous year.

The earnings attributable to IPAK stood at PKR 739 million, a decrease from PKR 795 million in 2025, with earnings per share of PKR 1.01, down from PKR 1.08. The company's export sales experienced a significant increase of 44.3%, reaching PKR 3.52 billion, equivalent to approximately USD 12.68 million, and accounted for 31.6% of consolidated sales, up from 24.0% in the previous year. This growth reflects the company's strategic focus on international markets.

On a standalone basis, IPAK recorded a 16.2% increase in sales, amounting to PKR 3.42 billion, up from PKR 2.95 billion in 2025. Gross profit was recorded at PKR 566 million, with operating profit at PKR 482 million, both showing a decline from the previous year's figures. Standalone finance costs saw a significant reduction of 34.9%. Profit before income tax was PKR 326 million, while profit after tax increased by 15.6% to PKR 211 million. Earnings per share increased to PKR 0.29 from PKR 0.25 in 2025.

The report highlights the continued support from subsidiaries, with Cast Packaging Films (Private) Limited maintaining a positive contribution to earnings and Global Packaging Films (Private) Limited being the largest contributor to group profitability. The management remains focused on enhancing Petpak Films (Private) Limited's capacity utilization and operating efficiency to further strengthen group profitability.