The Hub Power Company (HUBC) held a corporate briefing today, revealing noteworthy updates on its operational and financial performance for the first half of fiscal year 2026 (1HFY26). The company reported a consolidated net profit after tax (NPAT) of PKR 10.6 billion for the second quarter (2QFY26), translating to earnings per share (EPS) of PKR 8.19. This marks a substantial 2.5-year-on-year increase, though it reflects a 9% decrease compared to the previous quarter. Total profitability for 1HFY26 reached PKR 22.3 billion, down 5% YoY, and a dividend of PKR 5.0 per share was announced, according to a report by IMS Research.
During the briefing, HUBC provided key takeaways, starting with updates on its electric mobility portfolio. The company is on track to launch a state-of-the-art CKD assembly plant for BYD electric vehicles, designed for a capacity of 25,000 vehicles, which is expected to become operational in the latter half of 2026. The total project cost is estimated at US$150 million, funded through a mix of debt and equity.
In addition, HUBC continues to invest in Hubco Green Ltd. (HGL), which already operates 16 DC charging stations across Pakistan, with plans to partner with various Oil Marketing Companies (OMCs) to expand its charging infrastructure.
On the legacy plant front, management reported dividends of PKR 1 billion and PKR 4 billion from Thar Energy Ltd (TEL) and ThalNova (TN), respectively, following the achievement of the Project Completion Date (PCD). A significant dividend from TEL is anticipated in the upcoming 3QFY26 results.
HUBC also highlighted outstanding receivables amounting to PKR 68 billion for CPHGC, PKR 8 billion for TEL, PKR 7 billion for TN, and a few others, and provided insights into load factors for its various plants.
Regarding future projects, HUBC announced that the Sindh Engro Coal Mining Company (SECMC) Phase 3 is expected to come online by the end of 2026. Furthermore, potential ventures such as an aluminium smelter project and an oil terminal are under consideration to enhance business opportunities.
Prime, HUBC’s exploration and production unit, has secured interests in four new offshore blocks while continuing to collaborate with Ark Metals on mineral mining projects.
With PCD achieved for major power expansion projects that generate cash flow, HUBC looks to diversify its portfolio. Although these initiatives are expected to drive growth, analysts suggest that much of this potential is already reflected in the stock price, maintaining a target price of PKR 215 per share and a neutral investment stance.
As HUBC embarks on this promising phase, the company’s commitment to innovation and diversification remains a focal point of its strategy.
