October 30, 2025 (MLN): Atlas Honda Limited (PSX: ATLH) revved up its earnings for the half year ended September 30, 2025, posting a profit after tax (PAT) of Rs9.62 billion, up 45% from Rs6.62bn in the same period last year.

The solid performance was driven by higher sales volumes and improved operational efficiency despite cost pressures.

The company’s net sales surged 34.8% YoY to Rs125.34bn, reflecting robust motorcycle demand and price adjustments.

Meanwhile, the cost of sales increased by 29%, resulting in a gross profit of Rs15.86bn, nearly double the Rs8.08bn earned last year.

Consequently, gross profit margin improved to 12.7%, up from 8.7% a year earlier, signaling stronger pricing power and cost discipline.

On the expense front, sales and marketing and administrative costs grew modestly, while other income declined by 31% to Rs3.59bn due to lower returns on investments. Finance costs rose by 43% amid tighter monetary conditions.

After accounting for taxes of Rs5.94bn, the company’s net profit margin stood at 7.7%, slightly higher than last year’s 7.1%.

Earnings per share climbed to Rs77.51, compared to Rs53.36 in the corresponding period, reflecting the strong bottom-line growth.

Atlas Honda’s results underscore its resilience amid inflationary headwinds, supported by sustained consumer demand and effective cost management.