Lahore: Pakgen Power Limited, one of the notable players in the power sector, announced significant strategic changes following its board meeting held on March 31, 2026. The company faces substantial financial hurdles, as detailed in its financial results for the year ending December 31, 2025.
The company’s board has recommended a series of changes for shareholder approval, including a change in the principal line of business, alteration of the Memorandum of Association, a proposed company name change pending regulatory approval, and the sale of key assets such as plant machinery and buildings. The implementation of an alternative business plan is also on the agenda.
Financial disclosures reveal that Pakgen Power Limited recorded a marked decrease in revenue, with figures dropping to 925.41 million rupees in 2025 from 11.32 billion rupees in 2024. This decline is accompanied by a significant drop in gross profit, which stood at 397.70 million rupees, a sharp contrast from the previous year’s 5.35 billion rupees. The company reported a net loss after taxation of 333.08 million rupees, a stark reversal from a profit of 4.47 billion rupees in 2024.
According to information available from the Pakistan Stock Exchange (PSX), the absence of any cash dividends, bonus shares, or right shares was noted, further highlighting the company’s current financial strain. The audit report accompanying these financial statements emphasized a material uncertainty regarding the company’s going concern status due to the early termination of key agreements with its power purchaser and the government.
On April 27, 2026, at The Nishat Hotel in Lahore, the Annual General Meeting (AGM) will be convened. During this meeting, shareholders will deliberate on the proposed changes and the ongoing financial situation. The company’s share transfer books will be closed from April 20 to April 27, 2026, to facilitate AGM preparations.
Pakgen Power Limited’s statement of cash flows indicates a net cash increase from operating activities amounting to 15.01 billion rupees, while net cash used in investing and financing activities totaled 4.16 billion rupees and 10.93 billion rupees, respectively. The company’s total equity stands at 15.32 billion rupees, with total liabilities of 358.93 million rupees.
The board’s strategic realignment and asset disposal are intended to address the financial uncertainties and restore stability. The market and shareholders will closely monitor these developments, especially given the company’s historical significance in the power sector.