Karachi: Nadeem Textile Mills Limited has announced its financial results for the half-year ending on December 31, 2024, revealing a significant downturn in its financial performance. The Board of Directors, during a meeting held on March 27, 2025, at the company’s Karachi office, disclosed these results alongside potential corporate actions including cash dividends, bonus issues, right shares, and other price-sensitive information.
The company reported net sales of 3.39 billion rupees for the half-year period, contrasting sharply with the 6.56 billion rupees recorded in the same period the previous year. The cost of sales amounted to 3.50 billion rupees, up from 6.26 billion rupees in the corresponding period last year, resulting in a gross loss of 114.28 million rupees compared to a previous gross profit of 299.32 million rupees.
Administrative expenses for the half-year stood at 86.69 million rupees, while distribution costs were 54.18 million rupees. The operating loss recorded for the period was 255.15 million rupees, a substantial decline from the operating profit of 103.69 million rupees posted in the prior year. Finance costs further impacted the bottom line, amounting to 302.99 million rupees, compared to 354.87 million rupees in the same timeframe the previous year.
Other income during the half-year was reported at 31.48 million rupees, with net other expenses amounting to 14.66 million rupees. Consequently, the loss before levies and taxation was recorded at 541.32 million rupees, a significant increase from the previous year's loss of 221.14 million rupees.
According to information available from the Pakistan Stock Exchange (PSX), the company reported a net taxation credit of 146.49 million rupees for the half-year, compared to a net taxation expense of 60.58 million rupees in the previous year. Despite this, the loss after taxation amounted to 437.17 million rupees, compared to the 226.46 million rupees loss recorded in the same period last year.
The loss per share, both basic and diluted, was reported at 20.56 rupees, doubling from 10.65 rupees in the equivalent timeframe of the previous year. The company has not specified any closure period for its share transfer books, indicating ongoing uncertainty regarding shareholder entitlements.
The half-yearly report will be disseminated via the Pakistan Unified Corporate Action Reporting System (PUCARS) within the designated market category timeframe. Nadeem Textile Mills continues to navigate challenging financial conditions, as reflected in these results.