Karachi: Ittehad Chemicals Limited has reported significant financial shifts in its annual report, highlighting strategic investments and operational adjustments as key drivers of change. The data, released on June 29, 2026, reveals a multifaceted financial landscape.
The total assets of the company have increased by 9% from the previous year, reflecting a total of 21.80 billion rupees. This growth is attributed to several factors, including a 6% rise in property, plant, and equipment due to capital expenditures and ongoing projects. The company's investment in long-term investments also saw a 10% increase, indicative of additional strategic investments.
According to information available from the Pakistan Stock Exchange (PSX), Ittehad Chemicals Limited has experienced a minor move in its gross profit margin, which decreased from 19.9% in 2024 to 17.92% in 2025. Meanwhile, the net profit margin fell from 5.70% to 4.66%, marking a moderate move. The report also outlines a decrease in return on equity, without revaluation surplus, from 24% to 19%, classified as a moderate move.
The company's financial strategy includes a substantial increase in long-term financing by 308%, driven by the drawdown of funds for strategic capital expenditures and expansion projects. Concurrently, short-term borrowings have decreased by 53%, reflecting effective cash flow management and working capital optimization.
In terms of liabilities, trade and other payables have surged by 47% due to pending energy cost payments currently in litigation. However, there has been a 24% decrease in accrued mark-up, attributed to the timely settlement of previous financial obligations.
The equity and liabilities section of the report shows an 8% increase in total shareholder equity, amounting to 11.07 billion rupees, primarily due to the rise in retained earnings. Additionally, deferred liabilities experienced a minor move with a 1% decrease.
In summary, Ittehad Chemicals Limited's financial report outlines a year of strategic growth and operational recalibration, with significant investments and an emphasis on managing liabilities to sustain its market presence within the chemicals industry.