Zuma Resources Limited: performance and outlook

Zuma Resources Limited (PSX: ZUMA) is a public listed company incorporated in Pakistan as “limited by shares” in 1987. The company was previously known as Bilal Fibres Limited and was engaged in the manufacturing and sale of yarn. In September 2025, the company changed its name to Zuma Resources Limited and is now engaged in investing, partnering and collaborating with other companies operating in the field of technology, AI-enabled services, health tech, EV tech, Ecommerce and other affiliated businesses. Pattern of Shareholding As of June 30, 2025, ZUMA has a total of 14. 10 million shares outstanding which are held by 1280 shareholders. Local general public has the majority stake of 82. 387 percent in the company followed by Directors, CEO, their spouse and minor children holding 17. 06 percent shares. The remaining shares are held by other categories of shareholders. Financial Performance (2024-2025) The company suspended its operations in 2016 and was not able to resume since on account of jittery economic conditions, high energy tariff and uncertain demand of textile products in the local and international markets. During the period under review, the company didn’t drive any revenue either. Hence, no cost of revenue was incurred. However, in the meantime, the company devoted all its efforts to restructure its loans which provided the required stability and strength to the company’s financial position. The company sold off its plant & machinery, office equipment, factory equipment, furniture & fixtures for the repayment of its outstanding loans. The land & building which was previously classified as investment property was now reclassified as non-current assets held for sale. The sale agreement of the land & building is subject to legal and regulatory approvals. Administrative expense surged by 351. 60 percent in 2025 on account of fee & subscription charges as well as auditors’ remuneration. Other income dipped by 22. 72 percent in 2025 as unlike last year, no settlement gain was recognized on bank financing. Moreover, no revaluation gain on investment property was recorded in 2025 as investment property was reclassified as non-current assets held for sale. Despite diminution, other income was huge enough to absorb the company’s operating expense and translate into operating profit of Rs. 37. 69 million in 2025, down 28. 85 percent year-on-year. Finance cost surged by 363. 68 percent year-on-year in 2025 due to the impact of IFRS-9 on bank financing. The company also settled a huge portion of its outstanding loan during the year. The short-term borrowings of the company were reclassified as long-term borrowings. ZUMA recorded net loss of Rs. 2. 438 million with loss per share of Rs. 0. 17 in 2025. This was against the net profit of Rs. 41. 18 million and EPS of Rs. 2. 92 recorded in 2024. Recent Performance (9MFY26) During the nine-month period of the ongoing fiscal year, ZUMA recorded net revenue of Rs. 72. 616 million as against no revenue recorded during the comparable period of last year. This came on the back of IT services provided by the company in the UAE and the UK. This was the first time that the company recognized revenue from its new business line. The revenue was the result of execution of strategic collaboration with the global travel eSim market spanning over 120 countries. Gross profit clocked in at Rs. 69. 52 million in 9MFY26, resulting in the GP margin of 95. 74 percent. Administrative expense tumbled by 22. 24 percent in 9MFY26 likely because of lesser fee & subscription charges as well as legal & professional charges incurred during the period. Other income also deteriorated by 92. 83 percent in 9MFY26 likely due to lesser settlement gain on bank financing and lesser write-offs. ZUMA recorded operating profit of Rs. 90. 42 million in 9MFY26 versus operating loss of Rs. 4. 37 million recorded in 9MFY25. OP margin clocked in at 124. 52 percent in 9MFY26. Finance cost drastically surged from Rs. 0. 36 million in 9MFY25 to Rs. 28. 47 million in 9MFY26 as all the settlements against the outstanding loans were made in the previous year. Hence, the company now has to accrue interest expense on its outstanding loans as per the restructuring terms. ZUMA posted net profit of Rs. 61. 227 million in 9MFY26 with EPS of Rs. 4. 34 and NP margin of 84. 32 percent. This was against the net loss of Rs. 4. 65 million and loss per share of Rs. 0. 33 recorded in 9MFY25. Future Outlook ZUMA’s current platform of eSIM is greatly emerging worldwide and is providing seamless cross-border connectivity solutions. The company anticipates sustainable growth in user adoption and transaction volumes in this segment. Furthermore ZUMA plans to launch its own telecom brand in the UK. It also plans to apply for Mobile Virtual Network Operator (MVNO) license with the PTA. Besides, the company plans to introduce an AI-powered calling agent platform to facilitate industries such as customer support, sales automation etc. All these future projects, if executed as planned, will add depth and diversity to the company’s operations and will buttress its financial performance.

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