Karachi: Tariq Corporation Limited has reported notable financial improvements for the nine-month period ending on June 30, 2025, despite facing operational challenges within the sugar industry. According to the company's directors' report, a significant increase in revenues and a shift from a substantial loss to a modest profit marked the period.
During the reported period, the company achieved sales of 7.51 billion rupees, compared to 6.70 billion rupees in the same period last year. This reflects a Big move in revenue growth, attributed in part to the company's strategic sales of inventory against fluctuating market prices. Gross profit also experienced a turnaround, improving from a loss of 291.31 million rupees last year to a profit of 163.13 million rupees. Operating and finance costs were reported at 259.51 million rupees and 124.50 million rupees, respectively. The profit before levy and taxation stood at 22.02 million rupees, a sharp contrast to the loss of 676.72 million rupees recorded in the previous year.
The company's performance is considered a Very large or significant move, with after-tax profit reaching 7.72 million rupees, compared to a substantial loss of 499.32 million rupees in the previous year. Earnings per share also shifted positively from a significant loss to a minor gain. According to information available from the Pakistan Stock Exchange (PSX), the market has responded positively to the company's latest financial disclosures, with shares experiencing a Moderate move in value.
Despite a decrease in sugar production, the company managed to crush more sugarcane than the previous year, indicating operational resilience. However, the sugar recovery rate declined, presenting challenges to the company's cane development project. The company attributed these challenges to pest and disease issues affecting crops, which are being addressed through increased use of pesticides and fertilizers.
The company notes that the Federal Board of Revenue's track and trace system has been beneficial for the industry, and the lack of a minimum support price for sugarcane is pushing the industry towards deregulation and competitive practices. The company's Q3 2025 revenue was among the highest in its history, reaching 8.82 billion rupees, driven by an Efficiency Improvement Project that enhanced revenue and reduced energy costs.
Looking ahead, Tariq Corporation Limited anticipates a stable supply of sugarcane for the next season, supported by favorable agricultural conditions. The company is also focusing on strategic asset disposals to improve liquidity and reinvest in core operations. The Board of the Company has expressed gratitude for the support of stakeholders and the dedication of its employees, indicating an optimistic outlook for future financial performance.