Karachi: Pakistan Paper Products Ltd., a key player in the paper manufacturing sector, announced a decrease in its profit for the first quarter ended September 30, 2026. The company's financial results, disclosed on October 27, 2026, reveal a decline in both sales and net profit compared to the same period last year.

The company's net sales for the quarter were 377.30 million rupees, down from 439.14 million rupees reported in September 2025. This decrease in sales has significantly impacted the gross profit, which fell to 63.38 million rupees from the previous year's 78.07 million rupees. Operating profit also witnessed a decline, falling to 32.65 million rupees from 49.91 million rupees recorded in the corresponding quarter of the previous year.

Administrative expenses for the period remained relatively stable at 19.63 million rupees, compared to 19.54 million rupees in the prior year. However, selling and distribution expenses saw a decrease, amounting to 4.45 million rupees, down from 5.70 million rupees. Other operating expenses, on the other hand, rose to 6.64 million rupees, up from 2.92 million rupees in September 2025.

According to information available from the Pakistan Stock Exchange (PSX), the company's profit before taxation stood at 26.56 million rupees, a noticeable drop from the previous year's 41.06 million rupees. The finance cost also decreased to 6.11 million rupees from 8.94 million rupees.

After accounting for income tax, which amounted to 8.74 million rupees, the profit for the period was reported at 17.82 million rupees, compared to 30.17 million rupees in the prior year, marking a significant move. The earnings per share consequently fell to 2.23 rupees from 3.77 rupees recorded in the first quarter of 2025.

These results highlight the financial challenges faced by Pakistan Paper Products Ltd. in maintaining its profitability amidst declining sales and increasing operational costs.