KARACHI: Companies in the KSE-100 index reported combined earnings of Rs609 billion for the fourth quarter of fiscal year 2025-26, up 34 per cent from a year earlier, according to an analysis by Topline Research.
The brokerage’s review covers 88 KSE-100 companies representing roughly 96 per cent of the index’s total market capitalisation, rather than every listed company on the Pakistan Stock Exchange.
Combined earnings for the companies covered were also 20 per cent higher than in the preceding quarter, Topline said. For the full fiscal year, earnings reached Rs2.01 trillion, an increase of 18 per cent compared with FY25.
The figures provide a broad view of profitability among Pakistan’s largest listed companies, but they are an aggregation prepared by Topline Research and should not be read as an official Pakistan Stock Exchange earnings measure.
Energy companies were among the major contributors to the fourth-quarter increase. Topline’s analysis showed a particularly large year-on-year rise in earnings from the exploration and production sector.
That increase requires context. The research house attributed a substantial part of the sector’s earnings growth to the reversal of a tax provision, meaning the jump was not solely the result of stronger underlying operating performance.
Banking, fertiliser, oil and gas, power, cement and other major sectors also influence aggregate KSE-100 profitability because of their large weights in Pakistan’s listed equity market.
Quarterly corporate earnings can move sharply because of taxation, one-off gains or losses, exchange-rate effects, commodity prices and changes in finance costs. Headline profit growth therefore does not necessarily translate into an equivalent improvement in recurring operating earnings across every sector.
The full-year figure provides a broader comparison. Earnings of Rs2.01 trillion across the companies included in the analysis were 18 per cent higher than the previous fiscal year.
Corporate profitability is closely watched because earnings influence dividends, valuations and expectations for future business performance. The KSE-100 includes many of Pakistan’s largest banks, energy producers, manufacturers and other listed businesses.
The central takeaway from Topline’s analysis is that profitability among the companies covered strengthened materially in the fourth quarter, with combined earnings reaching Rs609 billion.
The 34 per cent year-on-year increase is substantial, but the contribution from tax-related reversals in parts of the energy sector means the aggregate figure should be interpreted alongside the underlying sector-level drivers.