AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi: Interloop Ltd. (ILP) has released its financial results for the first quarter of fiscal year 2026, recording a substantial increase in profitability. The company reported a profit of PKR 2.8 billion (EPS: PKR 2.0), marking a 12.6-fold increase compared to the same period last year when the profit stood at PKR 0.2 billion (EPS: PKR 0.2).
The rise in profitability is primarily attributed to increased export volumes and enhanced gross margins. During 1QFY26, Interloop’s revenue reached PKR 43.8 billion (US$153 million), reflecting a 5% increase from PKR 41.6 billion in the same period last year. This growth is largely driven by higher export volumes, particularly in the apparel segment.
The company’s gross margins rose to 23.3%, up from 18.6% in the same period last year. This improvement is supported by higher export prices, reduced cotton costs, and lower power expenses due to a decline in RLNG prices and grid tariffs.
Operating expenses remained stable year-on-year, as an increase in administrative costs was offset by a decline in distribution costs. Additionally, other income saw a 2.5-fold increase, likely due to gains on derivative financial instruments.
The financial data underscores Interloop Ltd.’s robust performance in the initial quarter of FY26, reflecting its strategic focus on enhancing export volumes and managing costs effectively.