Lahore: Mitchell's Fruit Farms Limited, a prominent player in the designated market category of the Pakistan Stock Exchange (PSX), has released its annual report for the first quarter of the fiscal year 2027, ending September 30, 2026. On October 28, 2026, the company announced a notable revenue increase of 35.5%, reaching PKR 951.6 million compared to PKR 702.2 million in the same period last year.
Despite the revenue surge, Mitchell's Fruit Farms recorded an operating loss of PKR 150.1 million, a significant downturn from the operating profit of PKR 29.5 million reported in the corresponding quarter of the previous year. This shift is largely attributed to increased investments in organizational and commercial capabilities, which resulted in higher administrative and selling expenses.
According to information available from the Pakistan Stock Exchange (PSX), the overall gross profit improved by 33.6%, amounting to PKR 238.3 million from last year's PKR 178.4 million. However, the gross margin slightly decreased to 25.0% from 25.4%.
The company reported a loss after taxation of PKR 177.8 million, contrasting starkly with the profit of PKR 183.7 million from the previous year. The earnings per share shifted from PKR 7.16 to a loss of PKR 6.93. The prior year's results were bolstered by a non-recurring gain from the disposal of property, plant, and equipment, highlighting the current quarter's focus on underlying profitability challenges.
The company's financial strategy included a PKR 500 million rights issue, with PKR 265 million utilized for working capital and the remaining PKR 235 million earmarked for infrastructure enhancements. Finance costs rose to PKR 20.6 million from PKR 17.1 million, while inventory and receivables saw an uptick, underscoring the need for disciplined capital management.
As Mitchell's Fruit Farms continues to emphasize commercial investments and market penetration, the Board remains committed to improving execution and productivity, aiming for sustainable long-term shareholder value.