November 28, 2025 (MLN): Exide Pakistan Limited (PSX: EXIDE) posted a profit after tax of Rs277.4 million for the half year ended September 30, 2025, marking a 45.15% decline compared to Rs505.7m in the same period last year.

Earnings per share dropped to Rs35.70, down 45.15% year-on-year, showing the pressure on the company’s bottom line amid weakening demand and higher operating costs during the period.

The company’s gross profit fell 26.6% to Rs1.74bn from Rs2.36bn in 1HFY24, as the gross profit margin weakened following a notable contraction in sales.

Revenue from customers decreased 19.7% to Rs11.10bn, compared to Rs13.82bn in the same period last year, primarily driven by a slowdown in market offtake and competitive pricing pressures.

Cost of sales also declined but at a slower pace, falling 18.3% to Rs9.36bn, limiting the company’s margin recovery despite lower input costs and production optimization efforts.

Selling and distribution expenses dropped 20.4% to Rs772.5m, mainly due to lower promotional and logistics-related spending.

In contrast, administrative and general expenses remained broadly stable, inching up 1% to Rs140.4m.

Other income rose sharply by 241.6% to Rs3.42m, but the gain was insufficient to offset the decline in core operations. Other operating charges fell 29.4% to Rs50.3m.

Exide’s operating profit slipped 34.5% to Rs775.9m, down from Rs1.18bn last year, reflecting weaker revenues coupled with persistent cost pressures.

Finance costs eased 9.1% to Rs322.8m, helping cushion the drop in pre-tax profitability.

As a result, profit before tax declined 45.35% to Rs453.1m, compared to Rs829.0m in the previous year, while taxation fell 45.66% to Rs175.7m, in line with lower earnings.

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