Maple Leaf Cement Factory Ltd. (MLCF) has announced its 3QFY25 financial results, with consolidated earnings of PKR 2.8 billion (EPS: PKR 2.67), up 86% year-over-year. The company’s revenue increased by 4% year-over-year to PKR 16.6 billion, driven by higher cement prices and sales volumes.

Key Highlights:

– Revenue: PKR 16.6 billion, up 4% year-over-year, supported by a 5% increase in company offtakes.
– Gross Margins: Improved by 5.6ppt year-over-year to 35.5%, driven by higher cement prices and lower coal costs.
– Distribution and Selling Expenses: Declined by 41% year-over-year to PKR 770 million.
– Finance Cost: Decreased by 44% year-over-year to PKR 464 million, due to lower borrowing rates and reduced debt.
– Taxation: Lower than anticipated, with an effective tax rate (ETR) of 25% in 3QFY25.

Outlook:

AKD Research has revised its call to ‘Neutral’ due to the 77% rally in the stock price during the FYTD and has maintained its December ’25 target price of PKR 71 per share, representing a potential upside of 5%.