Pakistan’s Mughal Iron and Steel Industries Limited (Mughal Steel) reported a consolidated profit of PKR 412.39 mln (USD 1.46 mln) for the nine-month period ending March 31, 2025, a sharp 70.3pct YoY decline, according to the company’s financial statement.
Net sales during the period fell by 1.44pct YoY to PKR 66.1 bln (USD 235 mln).
In the ferrous segment, the company recorded increased volumes. However, in the non-ferrous segment, primarily copper ingots, volumes declined across both export and domestic markets. Mughal Steel attributed this to a strategic shift in focus toward expanding ferrous operations, as well as a scale-back of non-ferrous activities due to operational and regulatory hurdles.
While gross margins in the ferrous segment showed slight improvement, margins in the non-ferrous segment remained largely unchanged. Nonetheless, overall margins declined due to changes in the sales mix between the two segments.
Looking ahead, the company expects to benefit from a lower base interest rate and more affordable electricity sourced from its subsidiary, Mughal Energy Limited. Mughal Steel also plans to continue expanding its focus on ferrous products.
With an annual production capacity of 1 mln tons, Mughal Steel manufactures billets, rebar, and structural sections, and also produces copper ingots, mainly for export to China. 1 USD / 281.2 PKR