October 22, 2025 (MLN): Ghandhara Automobiles Limited (PSX: GAL) has reported a strong financial performance for the quarter ended September 30, 2025, posting a net profit of Rs1.67bn, compared to Rs601.18m in the same period last year (SPLY), a 2.8x increase YoY.

The company’s earnings per share (EPS) rose to Rs29.33, up from Rs10.55 in SPLY.

GAL’s revenue surged to Rs13.52bn, more than 3.5x higher than Rs3.83bn last year.

The company’s cost of sales climbed in tandem to Rs11.13bn, up 3.6x, resulting in a gross profit of Rs2.39bn, compared to Rs712.73m in SPLY marking an impressive 3.3x increase.

Consequently, the gross profit margin improved slightly to 17.7%, from 18.6% last year, reflecting stable pricing amid higher volumes.

Distribution costs rose 2.3x to Rs108.20m, while administrative expenses increased 36.5% to Rs117.47m. Meanwhile, other income grew marginally by 2.4% to Rs165.6m, whereas other expenses expanded sharply to Rs102.27m, more than 5x the prior period’s level.

As a result, profit from operations surged to Rs2.23bn, up 3.1x from Rs722.73m in SPLY.

Finance costs decreased notably by 83.2% to Rs14.26m, owing to better liquidity and lower debt utilization. Moreover, the share of profit from an associate increased 3.2x to Rs295.74m, providing an additional boost to profitability.

The company recorded a profit before taxation of Rs2.5bn, up 3.4x from Rs729.39m a year ago. After accounting for taxation of Rs830.27m, which was 6.5x higher than last year’s Rs128.20m, net profit stood at Rs1.67bn.