April 29, 2026 (MLN): Atlas Battery Limited (PSX: ATBA) reported a sharp 81.46% year-on-year contraction in profit for the period for the nine months ended March 31, 2026, recording Rs2.93m compared to Rs15.82m in the corresponding period last year.

The company's earnings per share (EPS) declined 82.22% to Rs0.08, down from Rs0.45 in 9MFY25, showing significant value erosion for shareholders during the period.

ATBA's net sales declined 3.93% to Rs23.65bn from Rs24.62bn. Cost of sales contracted at a lesser pace of 2.21% to Rs21.32bn, compressing the gross level. This resulted in gross profit declining 17.19% to Rs2.33bn from Rs2.82bn.

Distribution costs rose 12.38% to Rs1.19bn while administrative expenses moderated by 11.50% to Rs434.35m. Other expenses declined by 42.57% to Rs42.52m, providing some relief.

The combined effect resulted in profit from operations declining sharply by 41.93% to Rs732.99m from Rs1.26bn.

Finance costs declined by 25.18% to Rs681.86m from Rs911.28m, providing a partial offset. However, profit before income tax and levies still contracted by 85.43% to Rs51.13m from Rs350.95m.

Levies escalated by 42.38% to Rs284.56m from Rs199.86m, pushing the company into a loss before income tax of Rs233.44m, against a profit of Rs151.10m in 9MFY25.

A deferred tax credit of Rs265.56m against Rs31.91m in the prior year provided critical relief, enabling the company to close the period in a marginal profit position.

After accounting for total taxation, Atlas Battery Limited closed the nine-month period with a profit for the period of Rs2.93m, representing an 81.46% contraction over the Rs15.82m reported in the corresponding period of last year.