Presentation of Corporate Briefing Session

Key takeaways

• J.K. Spinning Mills Limited operates with 183,538 spindles installed and 6,000 rotors installed in its spinning segment, alongside 110 looms installed and 600 stitching machines in its fabric and home textile segment.
• FY2026 revenue rose 1.6% year-on-year to PKR 43,512 million compared to PKR 42,838 million in FY2025.
• Gross profit for FY2026 increased by 25.1% to PKR 5,817 million, with gross margin expanding to 13.37% from 10.85% due to efficiency and cost control.
• Profit after taxation for FY2026 surged by 207.6% to PKR 1,581 million compared to PKR 514 million in FY2025, resulting in an earnings per share (EPS) of Rs 15.45 versus Rs 5.02.
• Finance cost declined by 27.1% to PKR 1,311 million in FY2026, driven by lower borrowings and the SBP policy rate easing to 11.5%.
• Segment external revenue split for FY2026 was PKR 17.78 billion (41%) for Spinning and PKR 25.73 billion (59%) for Fabric & Home Textile.
• Segment gross margins in FY2026 diverged, with Spinning improving sharply to 14.8% from 7.6% in FY2025, while Fabric & Home Textile eased to 9.6% from 12.8% in FY2025.
• Export sales grew 7.5% year-on-year to PKR 25.38 billion, representing 58% of total revenue, with top export destinations including Great Britain (PKR 9.99 billion), USA (PKR 4.21 billion), and Spain (PKR 3.17 billion).
• Total assets stood at PKR 31,551 million as of June 30, 2026, while total liabilities decreased by 11.3% to PKR 15,930 million and total equity increased by 11.2% to PKR 15,621 million.
• Solar power capacity was expanded from 7.5 MW in FY2025 to 15.5 MW in FY2026 to enhance energy efficiency and support the company's zero-carbon roadmap.
• The company plans a Rs 1,789 million investment in fabric processing upgrades, including a Goller Complexa bleaching range, an 8-chamber POSLU Stenter, and a biomass-fired thermal oil heater, aimed at enhancing efficiency, profitability, and product quality.
• The spinning BMR programme involves modernization with 16 high-speed Ring Frame LRJ/SX machines, 2 Toyota Simplex frame sets, and an Automatic Bale Plucker to improve spinning efficiency and product quality.