Kohat Cement Sees Profit Surge Despite Decline in Sales

Kohat: Kohat Cement Company Ltd. (KOHC) announced a substantial increase in profits for the fiscal year 2025, despite a slight decline in sales. In a corporate briefing, the company reported that its profits rose by 30% year-over-year, reaching PkR11.6 billion (EPS: PkR11.97), compared to PkR8.9 billion (EPS: PkR9.06) in the previous fiscal year. The profit growth was attributed to improved margins, driven by higher retention prices during the period.

However, the company’s sales figures revealed a different story. Sales fell by 3% year-over-year to PkR37.5 billion, down from PkR38.6 billion in FY24. The decline was primarily due to a 10% reduction in offtakes. Kohat Cement noted that better retention prices helped mitigate the impact of reduced offtakes.

The briefing also covered the company’s performance in the first quarter of FY26. Earnings for this period were reported at PkR2.9 billion (EPS: PkR3.20), a decline of 14% compared to PkR3.4 billion (EPS: PkR3.51) in the same quarter last year. This decrease was attributed to a drop in retention prices that overshadowed the positive impact of a 19% rise in dispatches.

The financial results and insights shared during the briefing were sourced from AKD Securities Limited.