Shahtaj Sugar Mills Limited Reports Financial Results With Notable Profit Increase


Karachi: Shahtaj Sugar Mills Limited has released its financial results for the fiscal year ending September 30, 2025, announcing a profit of 32,679,000 Rupees, marking a steady year-over-year improvement. The results were approved during a Board of Directors meeting held on December 31, 2025.



The company recorded a revenue of 8.65 billion Rupees for the year, a slight decrease from the previous year’s 8.82 billion Rupees, representing a minor move of -1.95%. Despite this decrease in revenue, the company managed to achieve a profit increase, attributed to a combination of reduced finance costs and increased other income.



According to the statement of profit or loss, Shahtaj Sugar Mills Limited’s gross profit stood at 859.39 million Rupees, compared to 927.43 million Rupees the previous year, showing a decrease. However, effective cost management, notably a reduction in finance costs from 644.72 million Rupees in 2024 to 373.51 million Rupees in 2025, contributed to the overall profitability. The finance cost reduction is categorized as a very large or significant move.



Additional factors influencing the profit increase included a rise in other income, which amounted to 82.92 million Rupees, up from 52.53 million Rupees in the prior year. Profit from operations was recorded at 489.55 million Rupees, down from 575.42 million Rupees, yet the net profit before taxation showed a significant improvement due to lower finance expenses and a modest increase in share of profit from associate entities.



According to information available from the Pakistan Stock Exchange (PSX), Shahtaj Sugar Mills Limited did not declare any cash dividend or other benefits for the fiscal year 2025. This decision aligns with the company’s focus on consolidating its financial position and ensuring sustainable growth.



In terms of assets and liabilities, the company’s total assets were reported at 8.39 billion Rupees, a slight decrease from 8.53 billion Rupees in 2024. Non-current assets rose to 6.64 billion Rupees from 5.94 billion Rupees, while current assets saw a decline to 1.76 billion Rupees from 2.59 billion Rupees. The company’s equity and reserves increased to 3.34 billion Rupees from 3.31 billion Rupees, supported by retained earnings and capital reserves.



The company also reported changes in its financial position, with a noteworthy reduction in short-term borrowings from 1.83 billion Rupees to 1.39 billion Rupees, demonstrating a strategic effort to manage liabilities effectively.



Shahtaj Sugar Mills Limited’s comprehensive income for the year includes a profit and other comprehensive income totaling 36.04 million Rupees. Despite challenges in revenue, the company’s strategic financial management and cost-cutting measures have resulted in an improved bottom line, reflecting resilience and adaptability in its operations.