Pakistan Tobacco Company Profit Rises 23% in 9MFY25

Pakistan Tobacco Company Limited (PSX: PAKT) has announced a profit after tax of Rs24.52 billion for the nine months ended September 30, 2025, reflecting a 23.1% increase from Rs19.91 billion in the same period last year. The company also declared a dividend of Rs20 per share.

Earnings per share rose 23.1% to Rs95.96 compared to Rs77.95 in 9MFY24. The profit growth was largely attributed to a sharp rise in exports, stronger gross margins, and higher operational efficiency.

Domestic turnover increased 3% year-on-year to Rs263.09 billion from Rs255.54 billion, while export turnover jumped 71.6% to Rs11.80 billion from Rs6.88 billion, pushing overall revenue upward. Gross turnover rose 4.8% to Rs274.89 billion, while excise duties fell 2.7% to Rs130.28 billion and sales tax climbed 4% to Rs42.06 billion.

Net turnover expanded 16.4% to Rs102.55 billion from Rs88.12 billion last year. The cost of sales rose 8.8% to Rs50.13 billion, resulting in a gross profit of Rs52.42 billion, up 24.6% from Rs42.06 billion in 9MFY24. The gross margin improved to 51.1% from 47.7%, indicating better pricing power and efficiency.

Selling and distribution costs declined 1.9% to Rs5.01 billion, while administrative expenses increased 7.1% to Rs4.17 billion. Other expenses rose 33.2% to Rs3.12 billion, whereas other income more than doubled to Rs332.9 million.

Operating profit stood at Rs40.46 billion, showing a 31.1% rise from Rs30.86 billion in the corresponding period last year. Finance income fell sharply by 71.4% to Rs1.69 billion, while finance costs decreased 48.4% to Rs590.8 million, resulting in a 77% decline in net finance income to Rs1.09 billion.

Profit before tax reached Rs41.56 billion, up 16.7% from Rs35.62 billion, while income tax expenses rose 8.5% to Rs17.04 billion. The company closed the nine-month period with a net profit margin of 23.9%, compared to 22.6% in 9MFY24.

Pakistan Tobacco Company’s profit growth was supported by robust export performance and improved margins, though partially offset by lower finance income.