Karachi: Towellers Limited has announced a robust 48% increase in sales for the first quarter ended September 30, 2026, compared to the same period last year. The company's unaudited financial statements, released on October 30, 2026, highlighted a sales figure of 4.10 billion rupees, up from 2.77 billion rupees in the previous year, marking a significant move in the company's financial trajectory.

Despite the impressive sales growth, Towellers Limited faced challenges with profit margins due to elevated distribution costs. The increased expenses were largely driven by rising sea freight rates and longer sea routes, which led to a reliance on air freight for timely delivery. Geopolitical tensions have also raised transit insurance costs, further impacting the company's bottom line.

According to information available from the Pakistan Stock Exchange (PSX), the company's profit after tax stood at 104.67 million rupees, reflecting an increase from the previous year’s 90.5 million rupees. However, the gross profit margin, at 496.90 million rupees, showed a moderate move compared to last year's 406.31 million rupees.

The directors' report also noted that profit from operations decreased to 139.17 million rupees from 180.53 million rupees, indicating pressures on operational efficiency. Taxation for the quarter was reported at 28.18 million rupees, significantly lower than last year’s 90.04 million rupees.

In response to these challenges, Towellers Limited is prioritizing efficiency improvements in its manufacturing processes to reduce production lead time and mitigate additional business costs. The management is also focused on securing more orders in upcoming quarters to bolster sales and meet financial targets.

The company continues to navigate a complex market environment, striving to balance growth opportunities with the realities of increased operational expenses.