Shabbir Tiles and Ceramics Limited reported a significantly wider annual loss for FY2026 as lower sales, weaker margins and higher financing costs put pressure on its financial performance.
Revenue And Margins Came Under Pressure
Shabbir Tiles’ net turnover fell to Rs11.90 billion in FY2026 from Rs13.85 billion a year earlier.
The decline in revenue was accompanied by a sharp reduction in gross profit, which dropped to Rs1.88 billion from Rs2.75 billion.
Operating expenses remained substantial, resulting in an operating loss of Rs649 million compared with an operating loss of Rs37 million in FY2025.
The deterioration in operating performance came as the company dealt with weaker sales and continued pressure on its cost base.
Loss Widened And Loss Per-Share Increased
Finance costs increased significantly during the year, rising to Rs310 million from Rs179 million as the company’s borrowings increased.
Shabbir Tiles reported a loss before tax of Rs969 million for FY2026.
After accounting for a tax credit, the company’s loss for the year stood at Rs802 million, compared with a loss of Rs192 million in FY2025.
The loss per share consequently widened to Rs3.35 from Rs0.80.
Balance Sheet Shows Investment And Higher Debt
Despite the weaker earnings performance, total assets increased to Rs9.46 billion from Rs7.94 billion.
Property, plant and equipment also increased following capital expenditure of more than Rs1 billion during the year.
Total equity declined to to approximately Rs1.85 billion as accumulated losses replaced the unappropriated profit reported previously.
Short-term financing increased sharply to Rs2.36 billion, while long-term financing also rose.
Cash generated from operations turned negative during the year, with higher inventory and receivables contributing to the pressure on operating cash flow.
Customer Concentration And Asset Base
The company disclosed that its five major customers accounted for approximately 19% of total sales during the year, compared with a lower proportion in the previous period.
Shabbir Tiles also reported that all of its non-current assets are located in Pakistan.
The board authorised the company’s financial statements in September 2026.
Meeting And Book Closure Dates
The company’s annual general meeting is scheduled for 22 October 2026 at 10:30 a.m. in Karachi.
The share transfer books will remain closed from 15 October to 22 October 2026. Transfers received by 14 October will be considered timely for participation in the relevant corporate proceedings.
With no dividend, bonus shares or right issue recommended for FY2026, shareholders will instead review the company’s financial performance and balance-sheet position at the upcoming AGM.