LUCK gross margins improved to 36.9% in 3QFY26

AKD Research has released a report on Lucky Cement Ltd. (LUCK), which announced its financial results for the third quarter of FY26 at the Pakistan Stock Exchange (PSX) today. Lucky Cement reported unconsolidated earnings of PKR 13.5 billion (EPS: PKR 9.2) for 3QFY26, which is the same as the earnings of PKR 13.5 billion (EPS: PKR 9.2) reported in the same period last year, indicating flat growth year-over-year.

The earnings surpassed our expectations due to higher-than-anticipated other income, primarily from dividends received from LEPCL. On a consolidated basis, profitability rose by 6% year-over-year to PKR 20.4 billion (EPS: PKR 13.0), mainly driven by improved performance in domestic cement operations, which was in line with our expectations.

Key highlights from the report include:

– Standalone revenue reached PKR 33.2 billion, reflecting a 10% increase compared to PKR 30.2 billion in the same period last year, supported by a 3% rise in total offtakes and higher retention prices during the period.

– Gross margins improved to 36.9%, up from 33.2% in the same period last year, benefiting from higher retention prices and lower grid tariffs, along with an incremental electricity package.

– Operating expenses increased by 6% year-over-year to PKR 2.8 billion, compared to PKR 2.7 billion in the same period last year, primarily due to higher export volumes.

For the full report, please visit: [AKD Research Report](https://research.akdsl.com/639131463941983618.pdf)

Courtesy – AKD Researchic cement operations; in line with expectations:

· Standalone revenue clocked in at PkR33.2bn, up 10%YoY from PkR30.2bn in SPLY, led by 3%YoY increase in total offtakes and higher retention price during the period.

· Gross margins improved to 36.9% from 33.2% in SPLY, supported by higher retention prices, and lower grid tariffs along with incremental electricity package.

· Operating expenses increased by 6%YoY to PkR2.8bn, compared to PkR2.7bn in SPLY, mainly due to higher export volumes.

Full Report
https://research.akdsl.com/639131463941983618.pdf

Courtesy – AKD Research