Lucky Core Industries Limited (LCI) held an analyst briefing today to discuss its financial results for FY26 and provide insights into the company’s future outlook. Here are the key points:

• The company’s profitability declined 17% year-on-year (YoY) to PKR 9.7 billion (EPS: PKR 21.1) in FY26, down from PKR 11.8 billion (EPS: PKR 25.5) in the same period last year (SPLY). This decline was mainly due to weaker performance in the Polyester and Soda Ash segments.
• Segment-wise, Soda Ash revenue and Earnings Before Interest and Taxes (EBIT) fell by 9% and 33% YoY, respectively, reaching PKR 36.2 billion and PKR 5.7 billion. Soda Ash volumes also declined 6% YoY to 424,000 tons, largely due to a 59% drop in exports. This resulted from lower pricing amid increased international competition, particularly from China.
• Management emphasized that the Soda Ash segment faced significant challenges during the year, including dumping practices from China, which forced the company to offer discounts. Additionally, the ongoing conflict in the Middle East negatively impacted local demand.

Courtesy: AKD Research