Engro Polymer & Chemicals Limited: performance and outlook

Engro Polymer & Chemicals (EPCL) reported a return to profit in the nine months of 2026, earning Rs399.055 million, against a loss of Rs2,833.478 million in the corresponding period a year earlier. Business Recorder said revenue rose 12 percent to Rs63,943.89 million, while gross profit increased 30.19 percent, helped by higher sales volumes and PVC prices, hydrogen peroxide revenue and a lower gas levy.

The improvement followed a loss of Rs3,043.128 million in 2025, when higher energy costs and weaker PVC prices squeezed margins and borrowing lifted gearing to 68 percent. For the outlook, the company faces imported raw-material supply risks and potentially higher energy costs; its hydrogen peroxide and high-temperature direct chlorination plants could broaden operations, while Lotte Chemical Pakistan has proposed buying a 56.19 percent stake in EPCL.