Karachi: MCB Investment Management Limited, the management company of Pakistan Income Enhancement Fund, announced its financial results for the year ended June 30, 2026, revealing a notable downturn in income. The announcement was made following a board meeting held at the company's Head Office in Karachi on August 4, 2026.
The income statement disclosed that the total income for the fiscal year 2026 stood at 516.06 million rupees, compared to 2.77 billion rupees in the previous year. This represents a very large or significant move, indicating a considerable decrease in income. The data shows a decline in income from various sources, with income from government securities falling to 194.41 million rupees from 2.14 billion rupees. Additionally, profit on bank deposits decreased to 87.31 million rupees from 160.86 million rupees. Capital loss on the sale of investments recorded a negative figure of 38.16 million rupees, contrasting with a gain of 451.70 million rupees the previous year.
According to information available from the Pakistan Stock Exchange (PSX), the reversal of provision against defaulted Term Finance Certificate added 234.46 million rupees to the income, compared to no such reversal in the prior year. Dividend income contributed 34.11 million rupees to the total income, which was a new inclusion for the year 2026.
The report also highlighted a significant reduction in expenses, which totaled 62.65 million rupees, down from 338.07 million rupees in the preceding year. Remuneration of MCB Investment Management Limited accounted for 43.79 million rupees, a decrease from 259.67 million rupees. Similarly, the Sindh Sales Tax on the remuneration of the Management Company also saw a reduction, amounting to 6.57 million rupees compared to 38.95 million rupees previously.
Net income before taxation for the year was reported at 453.41 million rupees, a stark contrast to the 2.43 billion rupees recorded in 2025. The net income after taxation remained the same at 453.41 million rupees due to the absence of taxation in both years. Of this, income already paid on units redeemed was 312.08 million rupees, leaving a net allocation of 141.33 million rupees for the year. The accounting income available for distribution, excluding capital gains, stood at 141.33 million rupees, up from 79.44 million rupees in the previous year.
This financial report indicates a challenging year for the Pakistan Income Enhancement Fund, with a substantial decline in income, despite reduced expenses. The company's performance is reflective of the broader designated market category, as it navigates the complexities of the financial landscape.