Karachi: The Board of Directors of LSE Capital Limited has presented its annual report for the fiscal year ending June 30, 2026, revealing a robust financial performance amid a backdrop of economic recovery across Pakistan. The report, issued on October 9, 2026, highlights significant corporate developments and an impressive surge in investor confidence.
During the 2025-26 fiscal year, Pakistan's economy exhibited a resilient recovery, with real GDP growth climbing to 3.7% from the previous year's 3.18%. Disciplined financial management led to a historic primary surplus of 3.2% of GDP, reducing the fiscal deficit to 0.7% of GDP as of March. Inflation was kept in check, averaging 6.2% from July to April, maintaining the State Bank of Pakistan's policy rate at 11.5% by year-end. The external account also saw improvement, with a nominal current account surplus of USD 0.07 billion and foreign exchange reserves reaching approximately USD 22 billion by June 2026.
According to information available from the Pakistan Stock Exchange (PSX), these economic indicators contributed to a significant boost in investor confidence, with the KSE-100 index reaching a record high of over 180,000 points by June 2026. This environment proved favorable for LSE Capital Limited, which reported a net profit of PKR 401,592,000, up from PKR 238,587,000 the previous year. The company's earnings per share increased to PKR 1.07 from PKR 0.65.
LSE Capital Limited undertook several strategic initiatives, including a stock split that changed the face value of its shares from PKR 10 to PKR 5. The company also successfully completed a Right Shares Issue, raising PKR 123,466,550, and de-registered its Modaraba Management Company License.
In the realm of investments, LSE Capital Limited expanded its portfolio by acquiring a 54% stake in Digital Custodian Company Limited. Additionally, the company launched several Special Purpose Acquisition Companies (SPACs), including LSE SPAC-I Limited, which had its IPO oversubscribed by 69%, and LSE SPAC-II Limited, which was oversubscribed by 22.27%.
The company's consolidated financial performance was also noteworthy, with net profits reaching PKR 394,886,000, a significant increase from the previous year's PKR 238,141,000. Operating income rose to PKR 174,005,000 from PKR 145,428,000, indicating a strong business trajectory.
LSE Capital Limited has ensured compliance with the Code of Corporate Governance and reaffirmed its commitment to maintaining robust internal financial controls. The board has proposed the reappointment of M/s. Ilyas Saeed & Company, Chartered Accountants, as external auditors for the upcoming term.
As LSE Capital Limited navigates forward, the company remains optimistic about its continued growth and the ability to capitalize on favorable market conditions.