Presentation of Corporate Briefing Session-2025

Millat Tractors Limited Corporate Briefing Session Financial year ended 30 June 2025 November 18, 2025

• Company overview

• Industry information

• Financial performance

• Future outlook

• Q&A session

Table of contents

• Public Limited Company - Listed on Pakistan Stock Exchange(PSX)

• Established in 1964, Nationalized in 1972, Employee/Management buyout in 1992

• Quality Management system upgraded to ISO 9001:2000 in 2000

• Launch of Emission Compliant Diesel Engines and Export Tractor Models in 2017

• Merger of Millat Equipment Limited with and into Millat Tractors Limited

• Market capitalization of PKR 112 billion (PSX) as at June 30, 2025

• Excellence in Corporate Management award by MAP - three years consecutive

• Top 25 PSX company awarded by PSX consecutively for the years 2017, 2018, 2019 and 2022

• Best Corporate and Sustainability report 2022 award by joint committee of ICAP and ICMAP

VISION

" Millat to be a global group of companies, recognized for a range of quality products with innovative design capabilities."

MISSION

" To be the market leader in agricultural tractors and machinery, building company's image through innovation and competitiveness, grow by investing into group companies, ensuring satisfaction to customers and stakeholders and to fulfill our social obligations."

‌Product range MTL

© Millat Tractors Limited

• MF Tractors from 50 - 85 hp

• Agricultural implements

  • Fodder and Combine Harvesters

  • Balers, Laser Land Leveler

• Diesel Power Generators (12.50 to 500 KVA)

• Prime movers

• Forklift trucks (3 to 4 Ton)

• Spare Parts and After Sale Market

• Millat IFS Business Channel-Partner of IFS SWEDEN

‌MTL is tractor assembling company which assembles MASSEY FERGUSON (MF) brand tractors for local and export market, ranging from 50 HP to 85 HP. The company also introduced MF 375 SE for its existing tractors. Following are the some of the main tractors:

MF 235 Tractor (2WD): "Specially designed for Orchards and Narrow Spaces."

• 50 HP Millat Engine.

  MF 240 Tractor (2WD): "The Most Popular and Economical Tractor"

• 50 HP Millat Engine.

  MF 385 Tractor:

  MF 385 2WD "The Long Term Partner Most Powerful Yet Economical"

  MF 385 2WD Deluxe "Added Safety, Road Grip, Power and Length"

  MF 385 4WD "The Strongest Pakistan Made Tractor Edge Over 2WD"

  MF 385 4WD Deluxe "Increased Strength, Stability, Convenience and Performance"

• 85 HP Millat Engine.

  MF 260 Tractor:

  
  
  

  MF 260 (2WD) "A Multi-Purpose Tractor"

  MF 260 (2WD) Deluxe "Upgraded, Efficient, Comfortable and Multi-Purpose Tractor"

• 60 HP, Turbo Millat Engine.

  MF 360 Tractor:

  
  
  

  MF 360 2WD"Robust, Reliable & Rugged" MF 360 4WD "The Most Powerful 4WD Tractor of Medium Horsepower Range in Pakistan"

• 60 HP, Turbo Millat Engine

  MF 375 Tractor:

  
  
  

  MF 375 2WD"Enhanced Power to Excel Progress"

  MF 375 SE"Enhanced Power with Lowest Price"

  MF 375 4WD"The Best Combination of Fuel Economy and High Pulling Power"

• 75 HP Millat Engine.

  TRACTORS

Geographical Coverage

MILLAT'S DEALERS GEOGRAPHICAL COVERAGE

Workshops

Parts Dealers

Location of Regional Offices

Main Dealers

1

Regional Office Islamabad

17

191

30

149

524

72

93

Total:

51

3

12

Regional Office Karachi

5

71

Upper Punjab and KPK

Central Punjab

Sindh and Baluchistan

Southern Punjab

© Millat Tractors Limited

R.O.K

Upper Sindh Lower Sindh

• In line with the vision of management, considering the importance of Information Technology for industry, MTL decided to implement globally renowned ERP, IFS Applications in Millat Tractors Limited in 2009.

• Having trained and qualified human resources since 2009, MTL entered into sales and implementation partnership for IFS Applications to extend the benefits of digital transformation to other group companies and automotive industry and formed a Business unit as Millat IFS Business Unit (MIBU).

• MIBU is selling and implementing ERP solution, IFS Applications that help companies get better return on investment.

  
  
  

  Millat IFS Business Channel- Partner of IFS SWEDEN

• IFS Consultancy

  • Implementation

  • SLA & Support

  • Integration

  • Trainings

  • Third Party Audit/QA

  • Remote Services

    ⮚

    •

    •

    Existing Customers

    Cybix Consulting FZ-LLC, UAE

    GAZI Tyres

    
    
    

  • Inivos Consulting Private Limited

  • MEASA Engineering Services (Pvt.) Ltd

  • Synergy Computers Private Limited

  • VS ONE Bangladesh Limited

  • WIA Systems Inc.

  • Millat Group, Pakistan

    • Millat Tractors Limited (MTL)

    • Millat Industrial Products Limited (MIPL)

Millat Tractors Limited

Subsidiary Companies

Others

TIPEG Intertrade DMCC

75%

Rs. 40 million

• (Free Zone Company under Regulations of DMCC)

• Trading arm

of the

Millat Industrial Products Limited

64.09%

Rs. 57 million

• Public Limited Company -(Unlisted)

• Manufacturer of automotive & UPS batteries

Bolan Castings Limited

46.26%

Rs. 77 million

• Public Limited Company -(Listed on PSX)

• Manufacturer of casting components

Hyundai Nishat Motors (Private) Limited

15.86%

* Rs. 5,824

million

*

Baluchistan Wheels Limited

9.62%

* Rs. 167 million

company

MARKET FAIR VALUE

• TIPEG INTERTRADE DMCC is a free zone company with limited liability registered with Dubai Multi Commodities Centre Authority. The company was incorporated in 2012.
• TIPEG INTERTRADE DMCC, is a trade hub established to promote locally manufactured engineering equipment and components worldwide. Based under the umbrella of Millat Tractors, TIPEG is determined to bridge distance and technical gaps between local manufactures and global markets for two way trading.

• TIPEG made sales of AED 19 million during the year.

• No dividend was declared during the year.

  Millat Industrial Products Limited (MIPL)

• Bolan Castings Limited, a subsidiary of MTL, acquired in 1994, is a listed public limited company, and mainly known as an automotive foundry with a capacity of over 16,000 tons per annum (manufacturing of casting components).

• Product Range

  • Grey Iron Castings

    • Tractor's Engine Blocks Engine Heads

    • Centre Housings

    • Transmission Case

    • Axle Casing

    • Oil Sump

    • Bearing Caps

  • Iron Castings

    • Axle Housings

    • Axle Supports

    • Differential Cases

    • Hydraulic Boxes

    • Rocker Links

    • Sleeves

    • Hubs and Bearing Covers etc.

    • Trucks / Buses / Cars, Brake Drums Pump Castings

    • Spheroidal Graphite/Nodular/Ductile

• No dividend was declared during the year.

  OTHER Group Members

• Hyundai Nishat Motors (Private)

  Limited
  
  
  • 15.86% shareholding by MTL as at June 30, 2025.

  • Cost of investment is Rs. 3,103 million as of June 30, 2025.

  • Fair value as on June 30, 2025 is Rs. 5,651 million.

  • Dividend received during the year was Rs. 62 million.

• Baluchistan Wheels

  
  
  

• 9.62% shareholding by MTL.

• Cost of investment is Rs. 12 million.

• Fair value as on June 30, 2025 is Rs. 182 million.

• Dividend received during the year was Rs. 12 million.

INDUSTRY OVERVIEW

80,000

70,000

Tractor Industry and MTL Sales (units)

MF Industry MF Share

400%

350%

60,000

50,000

46,794

54,992

70,888

42,708

50,405

50,920

58,947

45,494

300%

250%

40,000

30,000

20,000

32,724

21,116

33,930

28,705

20,423

34,506

32,019

32,727

20,707

35,515 35,005

30,942

18,622

30,203

29,192

18,580

200%

150%

100%

10,000

0

65% 65% 60% 63% 60% 64% 63% 70% 59% 60% 66% 64%

13-14 14-15 15-16 16-17 17-18 18-19 19-20 20-21 21-22 22-23 23-24 24-25

50%

0%

Tractor industry annual sales units 2024-25:

• Fiat (AGTL) 10,612 ❖ Massey Ferguson (MTL) 18,580

8%

Local Imported

92%

Average Composition of Local vs Imported Components Tractors

LHP

Imported

5%

Local

95%

Imported

10%

HHP

Local

90%

Local Imported Local Imported

Average Composition of Local vs Imported Components Tractors LHP & HHP

‌Sales (Rs. in million)

Tractors, 43,746 , 94%

Tractors

Others Trading goods

Others, 558 ,

1%

Trading goods, 2,442 , 5%

Tractors, 5,177 , 98%

Tractors

Others Trading goods

Trading goods, 97

, 2%

Others, 6 ,

0%

Local sales Export sales

Tractor sales comparison 2024-25 and 2023-24

• Overall sales of the Tractor industry went down by 36% from 45,494 to 29,192 units.

• Reason for industry decrease:

  Government policies and Green Tractor Scheme package have contributed in the decrease in sales as most of the farmers benefitted from this package. Further the Government announcement of providing this opportunity in the next year 2025-26 therefore impacting the overall market of this sector.

• MTL's sales decreased by 39% in terms of units sold by achieving 18,580 mark with a market share of 64%. In addition to the factors contributing to the overall industry decrease, the company's export sales have also been slightly affected.

  MTL PERFORMANCE FOR THE YEAR ENDED JUNE 2025

  	2025	2024	Increase/ (decrease)	%
  Units sold	18,580	30,620	(12,040)	39%↓
  Units produced	18,637	30,479	(11,842)	39%↓

  Rs. in million Rs. in million Rs. in million %

  Revenues - net	52,109	91,535	(39,426)	43%↓
  Gross profit	13,867	21,434	(7,567)	35%↓
  Other income	639	1,142	(503)	44%↓
  Finance cost	2,173	1,190	983	82%↑
  Profit before tax	8,064	16,828	(8,764)	52%↓
  Profit after tax	6,373	10,225	(3,852)	38%↓
  EPS - basic and diluted (rupees)	31.94	52.26	(20.32)	39%↓

  Profitability

• Net revenues decreased by 43.1%.

• Gross profit ratio increased by 4% due to effective cost control measures taken by the management.

• Profit after tax ratio increased by 1%, owing to cost control measures.

100,000

90,000

80,000

70,000

60,000

50,000

40,000

30,000

20,000

10,000

-

27%

23%

20%

19%

12%

11%

10%

8%

30%

25%

20%

91,535

52,109

53,374

44,191

21,434

13,867

6,373

10,225

8,842

10,198

3,378

5,427

2025 2024 2023 2022

Net Revenue from contract with customers Gross Profit (GP) Profit After Tax (PAT)

15%

10%

5%

0%

2025 2024 2023 2022

GP as a percentage of sale PAT as a percentage of sale

1268

4.34

7.82

10.87

3114

2980

18.90

5363

5269

18.63

25 6000

20

5000

15

10

5

4000

3000

2000

1000

0

USD

2020 2021 2022 2023 2024 2025

PKR

USD

0

PKR

Export volume has decreased to 2,607 units against 2,761 units in the last year.

© Millat Tractors Limited

* Source: Annual published financial statements

Exports - (million)

Financial Position as on June 30, 2025 (Rs. in million)

Reasons:

• Increase in current assets is primarily due to increase in company's inventory by Rs. 515 million in the current year.

• Increase in current liabilities is mainly due to increase in short term borrowings which were obtained to meet the working capital requirement.

  © Millat Tractors Limited

  
  
  

• Shareholders equity decreased due to dividend declared during the year.

In line with market perception and decreased profitability.

© Millat Tractors Limited

• Market price performed as per profitability trend and market perception.

• EPS 2025 - Rs. 31.94 per

  share.

• Dividend 2025 - Rs. 60 per share.

• Market price at year end June 30, 2025 is Rs. 558.66 per

share.

Market price per share

(year end)

Dividend per share

Earnings per share

2025 2024 2023 2022 2021

-

-

200

20.00

400

40.00

600

60.00

800

80.00

1,000

100.00

1,200

120.00

Share price movement 2024 - 25

1400

1300

1200

1100

1000

900

800

700

600

500

400

300

200

100

0

KSE 100

1830000

1630000

1430000

1230000

1030000

830000

630000

430000

230000

30000

MTL

MTL KSE 100