Synthetic Products Enterprises Limited: performance and outlook

Business Recorder reported that Synthetic Products Enterprises Limited (PSX: SPEL) saw both sales and profit fall in 2026, following a strong 2025. Net sales slipped 2.33 per cent to Rs9408.87 million, while net profit dropped 9.32 per cent to Rs1136.32 million. That translated into earnings of Rs5.99 per share, compared with Rs6.60 in 2025, and a net margin of 12 per cent.

According to the report, weaker local demand linked to a crisis in the Middle East hurt sales, while the cost of essential raw materials climbed. Gross profit fell 4.51 per cent and gross margin eased to 26.27 per cent, and operating profit slipped 6.24 per cent. Operating expenses rose 12.89 per cent on inflation and higher fuel prices, though finance cost fell 36.18 per cent despite more short-term borrowing.

The outlook section says the company intends to look for new overseas markets and launch new products to widen its sales mix. It also points to a revival of domestic demand from the FMCG and auto sectors as a source of growth, while operational efficiency and greater use of renewable energy are aimed at better margins. As of June 30, 2025, SPEL had 199.736 million shares outstanding, with directors, the CEO and their families holding 58.78 percent.