Financial Results for the 2nd Quarter (Half YEarly) Ended 2025-12-31

Interim Financial Report for the half year ended

ITANZ TECHNOLOGIES LIMITED

Corporate Information Directors' Review

FINANCIAL STATEMENTS

Independent Auditorʹs Review Report Condensed Interim Statement of Financial Position Condensed Interim Statement of Profit or Loss Condensed Interim Statement of Comprehensive Income Condensed Interim Statement of Changes in Equity Condensed Interim Statements of Cash Flows Notes to the Condensed Interim Financial Information

BOARD OF DIRECTORS

Syed Ahmed Bilal Chairperson/Non-Executive Director

Syed Asim Zafar Chief Executive Officer

Mr. Muhammad Amin Shakir Executive Director

Mr. Amer Khan Independent Director

Mr. Muhammad Yousuf Independent Director

Mr. Amir Raza Khan Non-Executive Director

Ms. Hibatullah Khan Non-Executive Director

AUDIT COMMITTEE

Mr. Muhammad Yousuf Chairperson/Independent Director

Mr. Amir Raza Khan Member/Non-Executive Director

Ms. Hibatullah Khan Member/Non-Executive Director

Mr. Muhammad Amin Shakir Member/Executive Director

HR & REMUNERATION COMMITTEE

Mr. Amer Khan Chairperson/Independent Director

Ms. Hibatullah Khan Member/Non-Executive Director

Mr. Amir Raza Khan Member/Non-Executive Director

CHIEF FINANCIAL OFFICER

Mr. Muhammad Amin Shakir

COMPANY SECRETARY

Mr. Muhammad Amin Shakir

EXTERNAL AUDITORS

Alam and Aulakh Chartered Accountants

SHARE REGISTRAR

F.D. Registrar Services (Private) Limited Office No. 1705, 17th Floor, Saima Trade Tower-A,

I.I Chandigrah Road, Karachi-74000.

TAX ADVISOR

Vector Vision

REGISTERED OFFICE

623 B PCSIR II, Lahore.

Web : https://www.itanztechnologies.com

REGIONAL OFFICE

University of Karachi, (ICCBS), Building No.02, Rom No. 05, Industrial Linkage and Technology Park, Karachi.

BANKERS

Dubai Islamic Bank Limited. Bank Al Habib Limited

COMPANY REGISTRATION NUMBER

CUIN 0021566

Interim Financial Report | December 31, 2025

Dear Shareholders,

On behalf of board of directors, we are pleased to announce the unaudited condensed interim financial statements for the six-month period ended December 31, 2025.

Company Performance:

For the six-month period ended December 31, 2025, the Company recorded a profit after tax of Rs. 161.975 million compared to Rs. 65.892 during the same period last year. Earnings per share (EPS) for the period is Rs. 1.50 compared to Rs. 0.61 for corresponding period of financial year 2025.

The Company's revenue increased by 100.47% for the period under review as compared to corresponding period last year, primarily due to securing a significant local contract. In same period last year, the Company's sales were limited to exports only. During the period direct cost increased by 84.57% as compared to corresponding period of last financial year in line with increase in revenue.

During the period, the Company has resumed its business operations in its principal line of activity as an Information Technology enterprise and has obtained CDC eligibility. All major corporate and legal compliances, inter alia, have been duly addressed. Trading in the Company's shares has commenced after removal of the Company from the Defaulters/Suspension Counter of the Pakistan Stock Exchange after non-compliances specified under Section 5.11.1 of the PSX Regulations were rectified

Summary of operating results is presented as below:

Future Outlook:

In line with the national trend, the Company continues to play an active role in strengthening Pakistan's IT export base through the development and delivery of customized software solutions for international clients. By upholding high technical standards, adopting agile development frameworks, and ensuring compliance with international quality benchmarks, the Company has cultivated long-term stakeholder relationships and contributed meaningfully to the country's foreign exchange earnings.

Acknowledgement:

Continued diligence an devotion of the staff and workers of the Company and good human relations at all levels deserve acknowledgement. The Directors also wish to place on record their thanks o the banker and other stakeholders for their continued support to the Company.

On behalf of the board

Syed Asim Zafar

(Chief Executive Officer)

Syed Ahmed Bilal

(Chairperson)

Interim Financial Report | December 31, 2025

TO THE MEMBERS OF ITANZ TECHNOLOGIES LIMITED REPORT ON REVIEW OF CONDENSED INTERIM FINANCIAL STATEMENTS

Introduction

We have reviewed the accompanying condensed interim statement of financial position of ITANZ TECHNOLOGIES LIMITED as at December 31, 2025 and the related condensed interim statement of profit or loss and condensed statement of other comprehensive income, condensed interim statement of changes in equity and condensed interim statement of cashflows, and condensed interim notes to the financial statements for the six-month period then ended (here-in-after referred to as the "condensed interim financial statements"). Management is responsible for the preparation and presentation of the condensed interim financial statements in accordance with accounting and reporting standards as applicable in Pakistan for interim financial reporting. Our responsibility is to express a conclusion on these financial statements based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements 2410, "Review of Interim Financial Information performed by the Independent Auditor of the Entity". A review of condensed interim financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed interim financial statements are not prepared, in all material respects, in accordance with accounting and reporting standards as applicable in Pakistan for interim financial reporting.

The engagement on the review resulting this independent auditor's report is Aqeel Alam (FCA).

ALAM & AULAKH

(Chartered Accountants) Lahore

Date: February 28, 2026 UDIN: RR202510041h5nOrSxXz

AS AT 31 DECEMBER 2025

EQUITY AND LIABILITIES EQUITY

Authorized share capital

Un-Audited Audited

RUPEES RUPEES

Note 31-Dec-25 30-Jun-25

1,200,000,000 1,200,000,000

TOTAL EQUITY AND LIABILITIES 1,124,591,708 933,162,114

The annexed notes from 1 to 15 form an integral part of these condensed interim finanical statements

Chief Executive Officer

Director

Chief Financial Officer

Interim Financial Report | December 31, 2025

AS AT 31 DECEMBER 2025

1,124,591,708 933,162,114

The annexed notes from 1 to 15 form an integral part of these condensed interim finanical statements

Chief Executive Officer

Director

Chief Financial Officer

FOR THE PERIOD ENDED 31 DECEMBER 2025

The annexed notes from 1 to 15 form an integral part of these condensed interim finanical statements

Chief Executive Officer

Director

Chief Financial Officer

Interim Financial Report | December 31, 2025

FOR THE PERIOD ENDED 31 DECEMBER 2025

The annexed notes from 1 to 15 form an integral part of these condensed interim finanical statements

Chief Executive Officer

Director

Chief Financial Officer

FOR THE PERIOD ENDED 31 DECEMBER 2025

The annexed notes from 1 to 15 form an integral part of these condensed interim finanical statements

Chief Executive Officer Director Chief Financial Officer

Interim Financial Report | December 31, 2025

FOR THE PERIOD ENDED 31 DECEMBER 2025

Un-Audited Un-Audited

RUPEES RUPEES

31-Dec-25 31-Dec-24

The annexed notes from 1 to 15 form an integral part of these condensed interim finanical statements

Chief Executive Officer

Director

Chief Financial Officer

FOR THE PERIOD ENDED 31 DECEMBER 2025

1. LEGAL STATUS AND OPERATIONS

   ITANZ Technologies Limited (formerly, Zahur Cotton Mills Limited) ['the Company'] was incorporated under the repealed Companies Act, 1913 Ordinance, 1984 on 21 April 1990. The Company is a 'Public Company Limited by Shares' and is listed on Pakistan Stock Exchange Limited. The principal activity of the Company is manufacturing and sale of greige fabric. Consequently the principal line of business has been amended to include rendering/providing consultancy services in the field of Information Technology (IT) and IT enabled services including software development, installation and implementation and other IT related supplies and services.

   1. Location of business unit

      Registered Office 623-B, PCSIR, Phase II, Lahore, Pakistan.

2. BASIS OF PREPARATION

   The interim financial statements are un-audited and has been presented in condensed form and do not include all the information as is required to be provided in a full set of annual financial statements. These interim financial statements should be read in conjunction with the audited financial statements of the Company for the year ended June 30, 2025.

   The comparative condensed interim statement of financial position as at June 30, 2025 and the related notes to the interim financial statements are based on audited financial statements. The comparative condensed interim statement of profit or loss, condensed interim statement of comprehensive income, condensed interim statement of cash flows, condensed interim statement of changes in equity and related notes to the condensed interim financial statements for the half year ended December 31, 2025 are based on unaudited, interim financial statements.

   1. Statement of compliance

      These condensed interim financial statements have been prepared in accordance with the accounting and reporting standards as applicable in Pakistan for interim financial reporting. The accounting and reporting standards as applicable in Pakistan for interim financial reporting comprises of:

      • International Accounting Standard 34 - Interim Financial Reporting, issued by International Accounting Standards Board [IASB] as notified under the Companies Act, 2017; and

      • Provisions of and directives issued under the Companies Act, 2017

      Where the provisions of and directives issued under the Companies Act, 2017 differ with the requirements of IAS 34, the provisions of and directives issued under the Companies Act, 2017 have been followed.

   2. Basis of measurement

      These financial statements have been prepared on the historical cost basis except for the following items, which are measured on an alternative basis as at the reporting date.

      Items Measurement basis

      Financial liabilities Amortized cost

      Employees retirement benefits Present value

      Financial assets Amortized cost

      13

Interim Financial Report | December 31, 2025

1. 1. Critical accounting judgements and key sources of estimation uncertainty

      The preparation of condensed interim financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions and judgments are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the result of which forms the basis of making judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Subsequently, actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised and in any future periods affected.

2. PRESENTATION CURRENC

   These condensed interim financial statements have been prepared in Pak Rupees which is the Company's functional currency. The amounts reported in these financial statements have been rounded to the nearest Rupees unless specified otherwise.

3. DATE OF AUTHORIZATION FOR ISSUE

   These un-audited condensed financial statements have been approved by the Board of Directors of the Company and authorized for issue on 28 February 2026.

4. SIGNIFICANT ACCOUNTING POLICIES AND ESTIMATES

   The accounting policies and the methods of computation adopted in the preparation of these condensed interim financial statements are the same as those applied in the preparation of the annual audited financial statements of the Company for the year ended 30 June 2025.

5. ISSUED ORDINARY SHARE CAPITAL

   During the reporting period, the Company has issued 97,961,500 ordinary shares to the shareholders of ITANZ as consideration for the merger. Pursuant to this issuance, the Company's issued ordinary share capital has been increased from 9,860,000 ordinary shares to 107,821,500 ordinary shares of Rs. 10 each.

   The issued ordinary share capital of the Company is as follows:

   Un-Audited Audited

   SHARES SHARES

   31-Dec-25 30-Jun-25

   107,821,500 9,860,000Ordinary shares of Rs. 10 each

   107,821,500 9,860,000

6. CONTINGENCIES AND COMMITMENTS

   1. Contingencies

      Un-Audited Audited

      RUPEES RUPEES

      31-Dec-25 30-Jun-25

      1,078,215,000 98,600,000

      1,078,215,000 98,600,000

      1. Guarantees issue by banking companies on behalf of the Company outstanding as at the reporting date are as follows:

         Un-Audited Audited

         RUPEES RUPEES

         31-Dec-25 30-Jun-25

         Bank guarantees 33,361,950 8,450,277

         14

Interim Financial Report | December 31, 2025

1. REVENUE FROM CONTRACTS WITH CUSTOMERS - NET

   Un-Audited Un-Audited Un-Audited Un-Audited

   RUPEES RUPEES RUPEES RUPEES

   Six-month period ended Three-month period ended

   	31-Dec-25	31-Dec-24		31-Dec-25	31-Dec-24
   		[restated]			[restated]
   Sales - Export	214,586,440	118,832,987		61,567,089	59,127,372
   Sales - Local	33,237,756	2,599,000		33,237,756	-
   Gross Revenue	247,824,196	121,431,987		94,804,845	59,127,372
   Less: Sales Tax	(5,070,166)	(339,000)		(5,070,166)	-
   	242,754,030	121,092,987		89,734,679	59,127,372

2. TRANSACTIONS AND BALANCES WITH RELATED PARTIES

   Related parties from the companies perspective comprise associated companies and key management personnel. Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly, and includes the Chief Executive and Directors of the Company.

   The Company continues to have a policy whereby all transactions with related parties entered into in the ordinary course of business are carried out on commercial terms and conditions which are equivalent to those prevailing in an arm's length transaction except for short term borrowings, advances payable, office, utility, director's and chief executive's remuneration. Detail of transactions with related parties during the reporting period are as follows:

   1. Transactions with related parties

      Un-audited Audited

      RUPEES RUPEES

      31-Dec-25 30-Jun-25

      There were no transactions with the related party during the reporting period except as follows:

      Nature of relationship Nature of transactions

      Associated companies Revenue from contracts 214,586,440 411,092,939 Key management personnel Remuneration and other benefits 1,379,319 15,379,669

   2. Balances with related parties

      Nature of relationship Nature of balance

      Un-audited Audited

      RUPEES RUPEES

      31-Dec-25 30-Jun-25

      Associated companies

      Key management personnel

      Trade receivables 943,677,540 748,835,856

      Advances payable 746,625 746,625

      Advances payable 627,302 627,302

      Short term borrowings 25,950,501 25,950,501

      Short term employee benefits payable 5,799,152 5,799,152

      16

1. FINANCIAL RISK MANAGEMENT AND FAIR VALUES

   The Company's financial risk management objectives and policies are consistent with those disclosed in the annual financial statements for the year ended June 30, 2025. There is no change in the nature and corresponding hierarchies of fair value levels of financial instruments from those as disclosed in the audited financial statements of the Company for the year ended June 30, 2025.

2. EVENTS AFTER THE REPORTING PERIOD

   There were no material adjusting or non-adjusting events after the reporting period that require adjustment to, or disclosure in, these condensed interim financial statements for the period ended 31 December, 2025 , in accordance with IAS 10 - Events after the Reporting Period.

3. FINANCIAL INSTRUMENTS

   The carrying amounts of the Company's financial instruments as at the reporting date are as follows:

   Un-Audited			Audited
   RUPEES			RUPEES
   31-Dec-25 30-Jun-25
   13.1	Financial liabilities
   	Financial liabilities at amortized cost
   	Trade creditors	46,189,868	48,867,657
   	Due to related parties	1,373,927	1,373,927
   	Accrued liabilities	26,676,580	42,893,412
   	Provident fund payable	17,906,481	19,365,342
   	Audit fee payable	400,000	1,570,000
   	Other payables	10,914,900	10,914,900
   	Short term borrowings	93,830,964	97,950,501

   197,292,720 222,935,739

   13.2	Financial assets
   	Cash in hand	115	6,905
   	Financial assets at amortized cost
   	Long term deposits	-	-
   	Trade receivables	943,677,540	748,835,856
   	Security deposits	33,725,588	8,813,915
   	Advances to employees	1,824,900	1,506,074
   	Other receivables	4,580,570	2,832,000
   	Cash at bank	475,461	26,980,217

   984,284,059 788,968,062

4. GENERAL

   Comparative figures have been rearranged and reclassified, where necessary, for the purpose of comparison. However, there were no significant reclassifications during the period.

   17

Interim Financial Report | December 31, 2025

1. OTHERS

There are no other significant activities since 30 June 2025 affecting the condensed interim financial statements

Chief Executive Officer

Director

Chief Financial Officer