Lahore: Thal Industries Corporation Limited has released its un-audited financial results for the first quarter ending December 31, 2025, reflecting a significant decline in net sales compared to the previous year, despite a notable increase in pretax profit. The company, a prominent player in Pakistan’s sugar sector, processed 832,751 metric tons of sugarcane during the period, yielding 80,138 metric tons of white refined sugar. This contrasts with the previous year’s processing of over 1 million metric tons, highlighting a reduction due to sugarcane unavailability.
On January 29, 2026, the company disclosed that its net sales for the quarter stood at Rs. 4.97 billion, a very large or significant move downward from the Rs. 10.92 billion recorded in the same quarter last year. However, pretax profit increased to Rs. 514.64 million, compared to Rs. 144.62 million in the corresponding period of the previous year. According to information available from the Pakistan Stock Exchange (PSX), this improvement in profitability is attributed to better selling prices, reduced carryover stock costs, and lower borrowing expenses.
The sugar sector remains a vital part of Pakistan’s agricultural economy, contributing 3.5% to agricultural value addition and 0.8% to the national GDP. The current crushing season has seen continued deregulation efforts, with provincial governments opting not to set a support price for sugarcane. As a result, market-based mechanisms are driving cane pricing.
Thal Industries has reported a slight improvement in sugar recovery rates, achieving an average rate of 9.98%, up from 9.58% in the previous year. The company has also outlined its strategic initiatives aimed at enhancing production efficiency and profitability, including the adoption of advanced technologies and providing support to cane growers.
Despite the challenges in sales, the company’s future outlook remains cautiously optimistic, with expectations of stable cane availability and improved recovery levels. The company’s financial health is further supported by the State Bank of Pakistan’s decision to maintain the base rate at 10.5%, reducing finance costs.
The sugar industry continues to advocate for complete deregulation to enhance efficiency and sustainability. The board of Thal Industries has expressed gratitude to its employees, financial partners, and stakeholders for their continued support, emphasizing ongoing efforts to improve operations and deliver value.