Interloop Profit Explodes 145% to Rs13.15 Billion, Rewards Shareholders With Massive 40% Cash Dividend

FAISALABAD: Pakistan textile giant Interloop Limited closed the year ended June 30, 2026 with unconsolidated after-tax profit of Rs13.15 billion, up from Rs5.38 billion in the previous year a gain of roughly 144.6 percent that arrived despite only modest sales growth.

Sales moved at a different pace entirely Rs173.38 billion last year, Rs182.84 billion this year. That gap alone can't explain the profit jump. Yet EPS surged from Rs3.84 to Rs9.38, signalling that the real story sits further down the income statement.

Interloop Profit Surges

A major part of the answer sits in finance costs, but stronger operating profitability also played a decisive role. Interloop's finance cost fell to Rs6.2 billion from Rs9.55 billion. At the same time, operating profit climbed nearly 47 percent on its own, reaching Rs26.92 billion against Rs18.33 billion a year earlier a rise that happened before finance costs even entered the calculation. Gross profit added to the momentum, moving up to Rs42.03 billion from Rs35.17 billion.

nterloop Dividend

Shareholders stand to gain directly from this performance. Board of Directors recommended a final cash dividend of Rs2 per share, equal to 20 percent. That comes on top of an interim dividend of Rs2 already paid earlier in the year. Combined, FY2026's total cash payout reaches Rs4 per share 40 percent of face value, with no bonus or right shares attached.

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The consolidated numbers sit on a separate track and shouldn't get mixed with the standalone figures above. Group-basis profit attributable to Interloop's shareholders jumped nearly 129 percent, from Rs5.55 billion to Rs12.70 billion. Sales at the group level reached Rs187.7 billion, up from Rs179.41 billion. Consolidated EPS: Rs9.06, versus Rs3.96 a year earlier.

One part of the group didn't share the momentum. Non-controlling interests booked a Rs253.07 million loss this year, reversing last year's Rs97.43 million profit. The filing itself stays silent on which subsidiary caused the swing it just shows the number. The divergence nevertheless shows that the improvement wasn't uniform across the wider group, even as Interloop's parent-level earnings surged.

Numbers on the balance sheet back this up. Unconsolidated total assets climbed to Rs187.67 billion from Rs176.73 billion. Long-term financing, meanwhile, dropped to Rs22.15 billion from Rs28.59 billion. Whatever the strategy behind it, the balance sheet ended FY2026 carrying considerably less long-term financing.

What powered this comeback? Stronger operating profitability. A sharp cut in finance costs. Considerably lighter long-term debt. Put together, they transformed ordinary revenue growth into an extraordinary 145% surge in bottom-line profit.