International Steels Ltd. (ISL) reported FY26 earnings of PKR 3.7bn (EPS: PKR 8.4), up 2.4x from PKR 1.6bn a year earlier, according to AKD Securities Ltd.

Topline rose 50% YoY to PKR 93.3bn, driven by 62% higher sales volumes at 435k tons. Production climbed 69% to 447k tons, while gross margin expanded to 11.5% from 8.6% on better utilization, cost absorption and energy optimization. Domestic market share rose to 28% from 23%, while overall flat-steel demand rose 25% YoY.

Exports more than doubled to PKR 20bn/91k tons, with the US remaining a key market despite higher tariffs. Management also highlighted divestment from Chinoy Engineering, expansion of renewables with a 6.4MW solar project, and long-term plans for a domestic HRC facility.

AKD Securities reiterated its ‘BUY’ stance on ISL with a Dec’26 target price of PKR 151/share, citing recovery in autos, appliances and construction alongside declining policy rates.