HUBCO profit declines 3% in 3QFY26

Amid lower revenue and high taxation, Hub Power Company Limited (HUBCO), Pakistan’s largest Independent Power Producer (IPP), saw its profit decline by nearly 3% to Rs12. 13 billion in the quarter that ended March 31, 2026. On a consolidated basis, the company registered a profit of Rs12. 48 billion in the same period of the previous year, according to a notice sent to the Pakistan Stock Exchange (PSX) on Wednesday. Consequently, earnings per share (EPS) decreased to Rs8. 33 per share in the period under review compared to Rs8. 51 per share in the same period last year (SPLY). The company announced an interim cash dividend for the third quarter ended March 31, 2026, at Rs5 per share, i. e. 50%. This is in addition to the Interim dividend already paid at Rs10 per share, i. e. 100%. On a consolidated basis, the IPP’s revenue from contracts with customers lowered by nearly 4% to Rs16. 5 billion in 3QFY26, compared to Rs17. 1 billion recorded in the prior year. The company’s cost of revenue declined 2% to Rs9. 86 billion in 3QFY26, compared to Rs10. 08 billion in SPLY. As a result, the gross profit of HUBCO decreased by 5% to Rs6. 6 billion in 3QFY26. This translates to a profit margin of 40. 1% in 3QFY26, as compared to 40. 9% in SPLY Meanwhile, the company’s other income increased by nearly 146%, hitting Rs3. 96 billion in 3QFY26, compared to Rs1. 61 billion in SPLY. The power producer’s profit from operations clocked in at Rs9. 85 billion in 3QFY26, up 18%. HUBCO saw its cost of finance lowered to Rs2. 1 billion in 3QFY26, a decrease of over 28%. On the other hand, HUBCO earned Rs11 billion as a share of profits from associates and ventures in 3QFY26, up 8%. The company’s profit before taxation stood at Rs18. 8 billion, up 20%. The IPP paid Rs6. 7 billion in taxes in 3QFY26, up 127%.

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