close

Indus Motor posts record Rs12.7bn half-year profit

By Our Correspondent
February 21, 2026
A worker is fixing gate of a car at an auto manufacturing unit. — AFP/File
A worker is fixing gate of a car at an auto manufacturing unit. — AFP/File

KARACHI: Indus Motor Company Limited reported its highest half-year profit in more than a decade, with profit after tax reaching Rs12.7 billion for the first half of FY26.

The company announced a profit of Rs5.98 billion for the second quarter ended December 31, 2025, up 23 per cent from Rs4.87 billion in the same period last year. Earnings per share for the quarter stood at Rs76.11.

Cumulatively, earnings for the first six months rose 28 per cent year-on-year (YoY) from Rs9.96 billion, marking the company’s strongest half-year performance since 2014.The company declared a cash dividend of Rs46 per share for the quarter, taking the total payout for the first half to Rs97 per share.

Net sales for 1HFY26 increased 40 per cent to Rs119.2 billion, driven by higher vehicle sales. Quarterly sales rose 36 per cent to Rs57.46 billion, supported by a 67 per cent increase in unit sales to 10,674 vehicles. Models including Yaris, Corolla, and Corolla Cross accounted for the majority of volumes, while Fortuner and Hilux also contributed to growth.

Gross margin for the half year improved to 15.2 per cent from 13.8 per cent a year earlier, although margins narrowed in the second quarter due to a higher share of lower-priced variants in the sales mix.

Other income rose 43 per cent to Rs5.32 billion in the quarter, reflecting higher returns on cash balances, while finance costs increased to Rs82 million.According to analysis by AHL Research, the earnings growth was largely supported by strong sales volumes and improved income from financial assets.