Submission of Half Yearly Financial Statements for the Half Year ended December 31, 2025 (Un-Audited)

NISHAT POWER LIMITED

Progress

Nishat Power Limited Page No.

Corporate Profile 2

Directors' Report 4

Directors' Report (Urdu) 6

Independent Auditor's Review Report 8

Condensed Interim Statement of Financial Position 9

Condensed Interim Statement of Profit or Loss 11

Condensed Interim Statement of Comprehensive Income 12

Condensed Interim Statement of Changes in Equity 13

Condensed Interim Statement of Cash Flows 14

Selected Notes to the Condensed Interim Financial Statements 15

NISHAT POWER LIMITED 1

CORPORATE

PROFILE

BOARD OF DIRECTORS

Mian Hassan Mansha

Chairman

Mr. Ghazanfar Hussain Mirza

Chief Executive Officer

Ms. Maleeha Humayun Bangash Mr. Humayun Maqbool

Mr. Mahmood Akhtar

Mr. Muhammad Aqib Zulfiqar Mr. Shahzad Ahmad Malik

CHIEF FINANCIAL OFFICER

Mr. Tanvir Khalid

COMPANY SECRETARY

Mr. Khalid Mahmood Chohan

LEGAL ADVISOR

Cornelius, Lane & Mufti Advocates & Solicitors

AUDIT COMMITTEE

Mr. Humayun Maqbool

Chairman

Ms. Maleeha Humayun Bangash

Member

Mr. Muhammad Aqib Zulfiqar

Member

AUDITORS

Riaz Ahmad & Co. Chartered Accountants

HUMAN RESOURCE & REMUNERATION COMMITTEE

Ms. Maleeha Humayun Bangash

Chairperson

Mian Hassan Mansha

Member

Mr. Ghazanfar Hussain Mirza

Member

2

HALF YEARLY REPORT

For The Period Ended 31 December 2025

HEAD OFFICE

1-B, Aziz Avenue, Canal Bank, Gulberg-V, Lahore - Pakistan

Tel: +92-42-35717090-96, 35717159-63

Fax: +92-42-35717239

Website: https://www.nishatpower.com

REGISTERED OFFICE

53 - A, Lawrence Road, Lahore Pakistan.

UAN: 042-111-11-33-33

SHARE REGISTRAR

Hameed Majeed Associates (Pvt.) Ltd. Financial & Management Consultants

H.M. House, 7-Bank Square, Lahore Pakistan.

Tel: 042-37235081-2

PLANT

66-K.M, Multan Road, Jambar Kalan, Tehsil Pattoki, District Kasur, Punjab Pakistan.

BANKERS OF THE COMPANY

Askari Bank Limited Allied Bank Limited

Albaraka Bank Pakistan Limited Bank Alfalah Limited

Bank Al-Habib Ltd BankIslami Pakistan Limited

Dubai Islamic Bank Pakistan Limited Faysal Bank Limited

First Women Bank Limited Habib Bank Limited

Habib Metropolitan Bank Limited MCB Bank Limited

MCB Islamic Bank Limited Meezan Bank Limited National Bank of Pakistan

Pak Brunei Investment Co. Limited Soneri Bank Limited

The Bank of Punjab United Bank Limited

NISHAT POWER LIMITED 3

DIRECTORS' REPORT

The Board of Directors is pleased to present its review report together with the Condensed Interim Financial Statements of the Company for the half year ended December 31, 2025.

PRINCIPAL ACTIVITY AND OPERATIONAL HIGHLIGHTS

The principal activity of the Company is to build, own, operate and maintain a fuel-fired power plant based on Reciprocating Engine Technology, having a gross capacity of 200 MW, located at Jamber Kalan, Tehsil Pattoki, District Kasur, Punjab, Pakistan.

During the period under review, the plant operated at an average capacity factor of 5.04% (December 2024: 3.51%) and dispatched 43,436 MWh of electricity to the Power Purchaser (December 2024: 30,250 MWh), reflecting slight improvement despite high fuel cost pressures.

FINANCIAL PERFORMANCE

For the half year ended December 31, 2025, the Company recorded a turnover of Rs. 2,814 million (December 2024: Rs. 3,519 million). Gross profit for the period stood at Rs. 655 million (December 2024: Rs. 1,669 million), while the Company reported a net profit after tax of Rs. 968 million as compared to a net loss after tax of Rs. 2,762 million in the corresponding period last year. This translated into earnings per share of Rs. 2.73 for the period ended December 2025. (December 2024: loss per share of Rs. 7.80).

Compared to the same period last year and except the one time adjustment of receivables, the change in profitability is attributable to the execution of PPA Amendment Agreement, wherein the Company agreed to the revised tariff structure, with effect from 01 November 2024 onwards. The major changes in the amended agreement are the conversion of earlier tariff to Hybrid Take & Pay Model along with reduction of Delayed Payment rate. Other than revision of tariff and change in payment terms, the significant provisions agreed under the PPA Amendment Agreement, have been explained in Note 1.2 of the annexed financial statements and note

1.4 of the annual published preceding financial statements of the Company for the year ended June 30, 2025.

During the current period, the settlement of receivables improved the Company's liquidity position, which in turn partially supported profitability through returns earned on short-term investments in mutual funds.

Total receivables from the Power Purchaser as at December 31, 2025 stood at Rs. 1,159 million (June 30, 2025: Rs. 1,662 million). Management continues to actively pursue recoveries and remains engaged with the relevant stakeholders to ensure timely realization of outstanding amounts.

4

HALF YEARLY REPORT

For The Period Ended 31 December 2025

FUTURE OUTLOOK

Although the plant operated at a higher average capacity factor, as compared to the same period last year, however, the dispatch of power is expected to remain subdued in the coming months due to seasonal demand patterns and higher fuel costs following the imposition of petroleum and carbon levy on Furnace Oil effective July 01, 2025. The Plant is also capable of generating power at a short notice, due to technical advantage of having eleven (11) DGs with Reciprocating Engine Technology and one Steam Turbine.

In line with the Company's strategy to diversify its business portfolio and create sustainable long-term value, the Company has made a strategic investment in NexGen, an Electric Vehicle manufacturer. The Company is optimistic about the recently launched New Energy Vehicle models by the NexGen, which have received an encouraging response from the local market.

As part of its broader diversification strategy, the Company is also in the process of acquisition of a strategic investment in the shares of Rafhan Maize Products Company Limited. This potential acquisition is subject to the requisite permission from regulatory authorities, which is under way.

ACKNOWLEDGEMENT:

The Board of Directors expresses its sincere appreciation to all stakeholders, including shareholders, lenders, regulators, business partners and employees, for their continued trust and support. The Board particularly acknowledges the dedication and commitment of the Company's management and staff, whose efforts remain instrumental to the Company's success.

For and on behalf of Board of Directors

CHIEF EXECUTIVE OFFICER DIRECTOR

Lahore: February 26, 2026

NISHAT POWER LIMITED 5

6

HALF YEARLY REPORT

For The Period Ended 31 December 2025

NISHAT POWER LIMITED 7

INDEPENDENT AUDITOR'S REVIEW REPORT

To the members of Nishat Power Limited

Report on review of Condensed Interim Financial Statements

Introduction

We have reviewed the accompanying condensed interim statement of financial position of NISHAT POWER LIMITED as at 31 December 2025 and the related condensed interim statement of profit or loss, condensed interim statement of comprehensive income, condensed interim statement of changes in equity, and condensed interim statement of cash flows, and notes to the condensed interim financial statements for the half year then ended (here-in-after referred to as the "condensed interim financial statements"). Management is responsible for the preparation and presentation of these 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 condensed interim 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 the accounting and reporting standards as applicable in Pakistan for interim financial reporting.

Other Matter

Pursuant to the requirement of Section 237(1)(b) of the Companies Act, 2017, only cumulative figures for the half year, presented in second quarter accounts are subject to a limited scope review by the statutory auditors of the Company. Accordingly, the figures of the condensed interim statement of profit or loss and condensed interim statement of comprehensive income for the three months period ended 31 December 2025 have not been reviewed by us.

The engagement partner on the review resulting in this independent auditor's review report is Atif Anjum.

RIAZ AHMAD & COMPANY

Chartered Accountants Lahore

Date: 26 February 2026

UDIN: RR202510132JOVNwtcnf

8

HALF YEARLY REPORT

For The Period Ended 31 December 2025

CONDENSED INTERIM

STATEMENT OF FINANCIAL POSITION (Un-audited) AS AT 31 DECEMBER 2025

EQUITY AND LIABILITIES

SHARE CAPITAL AND RESERVES

Authorized share capital

500,000,000 (30 June 2025: 500,000,000)

ordinary shares of Rupees 10 each

Un-audited Audited

31 December 30 June

2025 2025

Note (Rupees in thousand)

5,000,000

Issued, subscribed and paid-up share capital 354,088,500 (30 June 2025: 354,088,500)

ordinary shares of Rupees 10 each

Capital reserve - overhauling reserve 4

Revenue reserve - un-appropriated profit TOTAL EQUITY

LIABILITIES

NON-CURRENT LIABILITY CURRENT LIABILITIES

Trade and other payables Short term borrowings

Accrued mark-up / profit on short term borrowings Unclaimed dividend

Taxation and levy - net TOTAL LIABILITIES

CONTINGENCIES AND COMMITMENTS 5

TOTAL EQUITY AND LIABILITIES

The annexed notes form an integral part of these condensed interim financial statements.

3,540,885

3,722,257

20,712,026

27,975,168

-

309,614

719,898

351

29,035

116,300

1,175,198

1,175,198

29,150,366

CHIEF EXECUTIVE OFFICER

NISHAT POWER LIMITED 9

Un-audited Audited

31 December 30 June

2025 2025

DIRECTOR CHIEF FINANCIAL OFFICER

10

HALF YEARLY REPORT

For The Period Ended 31 December 2025

CONDENSED INTERIM

STATEMENT OF PROFIT OR LOSS (Un-audited) FOR THE HALF YEAR ENDED 31 DECEMBER 2025

Note (Rupees in thousand)

Revenue from contract with customer

Cost of sales 9

Gross profit Administrative expenses Other expenses

Other income

Profit from operations Finance cost

Adjustments to balance payable by CPPA-G Share of loss of equity accounted

investee - net of taxation

Profit / (loss) before levy and taxation Levy

Profit / (loss) before taxation Taxation

Profit / (loss) after taxation

Earnings / (loss) per share - basic and diluted (rupees)

The annexed notes form an integral part of these condensed interim financial statements.

CHIEF EXECUTIVE OFFICER

DIRECTOR

CHIEF FINANCIAL OFFICER

NISHAT POWER LIMITED 11

CONDENSED INTERIM

STATEMENT OF COMPREHENSIVE INCOME (Un-audited) FOR THE HALF YEAR ENDED 31 DECEMBER 2025

(Rupees in thousand)

PROFIT / (LOSS) AFTER TAXATION

OTHER COMPREHENSIVE INCOME:

Items that will not be reclassified to profit or loss

Items that may be reclassified subsequently to profit or loss Other comprehensive income for the period

TOTAL COMPREHENSIVE INCOME / (LOSS) FOR THE PERIOD

The annexed notes form an integral part of these condensed interim financial statements.

CHIEF EXECUTIVE OFFICER

DIRECTOR

CHIEF FINANCIAL OFFICER

12

HALF YEARLY REPORT

For The Period Ended 31 December 2025

CONDENSED INTERIM

NISHAT POWER LIMITED

STATEMENT OF CHANGES IN EQUITY (Un-audited)

FOR THE HALF YEAR ENDED 31 DECEMBER 2025

(Rupees in thousand)

Balance as at 30 June 2024 - audited 3,540,885 2,113,957 - 26,962,082 29,076,039 32,616,924

Transactions with owners:

Final dividend for the year ended 30 June 2024 @ Rupees 5 per share First interim dividend for the quarter ended 30 September 2024

@ Rupees 2 per share

- - - (2,478,620) (2,478,620) (2,478,620)

Loss for the period

Other comprehensive income for the period

Total comprehensive loss for the period - - - (2,762,392) (2,762,392) (2,762,392)

Transfer of maintenance reserve - (25,591) - 25,591 - -

Extinguishment of maintenance reserve for the purpose of creating

the overhauling reserve pursuant to the Amendment Agreement - (2,088,366) - 2,088,366 - -Transfer to overhauling reserve - - 3,396,474 (3,396,474) - -Balance as at 31 December 2024 - un-audited 3,540,885 - 3,396,474 20,438,553 23,835,027 27,375,912

Transactions with owners:

Second interim dividend for the half year ended 31 December 2024 @ Rupees 2 per share

Third interim dividend for the quarter ended 31 March 2025 @ Rupees 2 per share

Profit for the period

Other comprehensive income for the period

- - - (1,416,354) (1,416,354) (1,416,354)

Total comprehensive income for the period - - - 2,015,610 2,015,610 2,015,610 Transfer to overhauling reserve - - 325,783 (325,783) - -Balance as at 30 June 2025 - audited 3,540,885 - 3,722,257 20,712,026 24,434,283 27,975,168

Profit for the period

Other comprehensive income for the period

Total comprehensive income for the period - - - 968,277 968,277 968,277 Transfer to overhauling reserve - - 10,183 (10,183) - -Balance as at 31 December 2025 - un-audited 3,540,885 - 3,732,440 21,670,120 25,402,560 28,943,445

13

The annexed notes form an integral part of these condensed interim financial statements.

CHIEF EXECUTIVE OFFICER

DIRECTOR

CHIEF FINANCIAL OFFICER

CONDENSED INTERIM

STATEMENT OF CASH FLOWS (Un-audited) FOR THE HALF YEAR ENDED 31 DECEMBER 2025

The annexed notes form an integral part of these condensed interim financial statements.

CHIEF EXECUTIVE OFFICER

DIRECTOR

CHIEF FINANCIAL OFFICER

14

HALF YEARLY REPORT

For The Period Ended 31 December 2025

SELECTED NOTES TO AND FORMING PART OF THE CONDENSED INTERIM FINANCIAL STATEMENTS (Un-audited) FOR THE HALF YEAR ENDED 31 DECEMBER 2025

1. THE COMPANY AND ITS ACTIVITIES

   1. Nishat Power Limited (the 'Company') is a public Company limited by shares incorporated in Pakistan on 23 February 2007 under the repealed Companies Ordinance, 1984 (now, the Companies Act, 2017). The Company is a subsidiary of Nishat Mills Limited. The Company's ordinary shares are listed on the Pakistan Stock Exchange Limited.

   2. The principal activity of the Company is to build, own, operate and maintain a fuel fired power station having gross capacity of 200 MW in Jamber Kalan, Tehsil Pattoki, District Kasur, Punjab, Pakistan. The address of the registered office of the Company is 53-A, Lawrence Road, Lahore. The Company had a Power Purchase Agreement ('PPA') with its sole customer, National Transmission and Despatch Company Limited ('NTDC') for twenty five years which commenced from 09 June 2010. On 12 February 2021, the Company entered into a Novation Agreement to the PPA with NTDC and Central Power Purchasing Agency (Guarantee) Limited ('CPPA-G' and also referred to as the 'Power Purchaser'), whereby, NTDC irrevocably transferred all of its rights, obligations and liabilities under the PPA to CPPA-G and thereafter, NTDC ceased to be a party to the PPA, and CPPA-G became a party to the PPA in place of NTDC. Further, on the same day, the Company entered into the PPA Amendment Agreement, whereby the Agreement Year that was ending on 08 June 2021 was extended by sixty eight (68) days to 15 August 2021. The Company entered into another PPA Amendment Agreement with effect from 01 November 2024 to further amend the terms of PPA. Under this Agreement, certain significant amendments have been taken place including the conversion of existing tariff to 'Hybrid Take and Pay' model. GoP has also agreed to unconditionally and irrevocably withdraw and extinguish all claims against the Company under the Arbitration Submission Agreement as more fully explained in note 9.1.1(v) to the annual published preceding financial statements of the Company for the year ended 30 June 2025.

1. BASIS OF PREPARATION

   1. 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 comprise of:

      • International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the International Accounting Standards Board (IASB) as notified under the Companies Act, 2017; and

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

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

        2.2 These condensed interim financial statements do not include all the information and disclosures required in annual financial statements and should be read in conjunction with the annual audited financial statements of the Company for the year ended 30 June 2025. These condensed interim financial

        NISHAT POWER LIMITED 15

        
        
        

        statements are un-audited, however, have been subjected to limited scope review by the auditors and are being submitted to the shareholders as required by the Listed Companies (Code of Corporate Governance) Regulations, 2019 and Section 237 of the Companies Act, 2017.

2. MATERIAL ACCOUNTING POLICY INFORMATION

   The material accounting policy information and methods of computations adopted for the preparation of these condensed interim financial statements are same as applied in the preparation of the preceding audited annual published financial statements of the Company for the year ended 30 June 2025.

   3.1 Critical accounting estimates and judgments

   The preparation of these condensed interim financial statements in conformity with approved accounting standards requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the Company's accounting policies. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

   During preparation of these condensed interim financial statements, the significant judgments made by the management in applying the Company's accounting policies and key sources of estimation and uncertainty were the same as those that applied in the preceding audited annual published financial statements of the Company for the year ended 30 June 2025.

3. CAPITAL RESERVE - Overhauling reserve

   Capital reserve amounting to Rupees 3,732.440 million (30 June 2025: Rupees 3,722.257 million) has been recognized in these condensed interim financial statements. This capital reserve is set aside from retained earnings for the purpose of repair and maintenance costs associated with overhauling of the plant based on annual estimated O&M costs. Any utilization of overhauling reserve is transferred to retained earnings in the period in which actual overhauling is carried out.

4. CONTINGENCIES AND COMMITMENTS

   1. Contingencies

There is no significant change in the status of contingencies as disclosed in the preceding annual audited financial statements of the Company for the year ended 30 June 2025 except for the following:

1. On 19 August 2014, the department raised a demand of Rupees 1,722.811 million relating to apportionment of input sales tax under section 8 of the Sales Tax Act, 1990 for tax years 2010 to 2013. The disallowance was primarily made on the grounds that since revenue derived by the Company on account of 'capacity revenue' was not chargeable to sales tax, input sales tax claimed by the Company was required to be apportioned with only the input sales tax attributable to other revenue stream i.e. 'energy revenue' admissible to the Company. The Company assailed the underlying proceedings before Honourable Lahore High Court, Lahore ('LHC') directly and in this respect, vide order dated 31 October 2016, LHC accepted the Company's stance and annulled the proceedings. The department has challenged the decision of LHC before Supreme Court of Pakistan and has also preferred an Intra Court Appeal against such order which are pending adjudication.

   16

   HALF YEARLY REPORT

   For The Period Ended 31 December 2025

   In respect of tax periods from July 2016 to June 2017, Company's case was selected for 'audit' involving input sales tax amounting to Rupees 541.091 million, on the same grounds as explained above and Rupees 49.774 million on other matters. Being aggrieved, the Company filed an appeal before Commissioner Inland Revenue (Appeals) [CIR(A)]. On 25 February 2022, CIR(A) passed an order and provided partial relief to the Company. Being aggrieved with the order of CIR(A), the Company preferred an appeal before Appellate Tribunal Inland Revenue (ATIR) who vide order dated 15 April 2022 decided the matter in favour of the Company. Against the order of CIR(A), the department has also filed an appeal in ATIR which is pending adjudication.

   On 29 May 2024, Deputy Commissioner Inland Revenue (DCIR) passed an assessment order relating to tax periods from July 2018 to June 2019 involving input sales tax on 'capacity purchase price' amounting to Rupees 530.024 million on the same grounds as explained above and disallowance of input sales tax on goods / services amounting to Rupees 6.107 million under various provisions of Sales Tax Act, 1990. The Company paid the impugned sales tax demand of Rupees 6.107 million in protest. However, recovery of input sales tax attributable to 'capacity purchase price' was held in abeyance till the decision of the case by Supreme Court of Pakistan as explained above. The Company preferred an appeal before CIR(A) on 24 June 2024 relating to disallowance of input sales tax on goods / services. On 27 February 2025, CIR(A) principally upheld the findings of the assessment order. Being aggrieved with the order of CIR(A), the Company has filled a reference application before the honourable Lahore High Court, Lahore. On 28 October 2025, honourable Lahore High Court, Lahore has remanded back the case to ATIR with the directions to treat the same as an appeal and decide the same as per law. Based on the tax advisor opinion, there exists reasonable grounds to defend these cases. Therefore, no provision has been made in these financial statements.

2. On 16 April 2019, the Commissioner Inland Revenue (CIR) through an order raised a demand of Rupees

   179.046 million against the Company, mainly on account of input sales tax claimed on inadmissible expenses in sales tax return for the tax periods of July 2014 to June 2017 and sales tax default on account of suppression of sales related to tax period of June 2016. Being aggrieved with the order of CIR, the Company filed an appeal before CIR(A). On 07 May 2020, CIR(A) declared that the admissible forum of appeal against the order of CIR is ATIR. The Company filed application for grant of stay before the ATIR against recovery of the aforesaid demand that was duly granted on 28 January 2021. Further, the Company filed an appeal before ATIR against the order of CIR. On 25 November 2025, ATIR granted partial relief to the Company while certain matters were remanded back for fresh consideration. However, no remand back proceedings have been initiated by the department. Based on the tax advisor opinion, management has strong grounds to believe that the remand back proceedings shall be decided in Company's favor. Therefore, no provision has been made in these condensed interim financial statements.

3. On 27 November 2024, Additional Commissioner Inland Revenue ('ACIR') passed an order for tax year 2023 under section 122(5A) of the Income Tax Ordinance, 2001 raising a tax demand of Rupees 32.528 million. On 20 December 2024, being aggrieved with the order, the Company has filed an appeal before Appellate Tribunal Inland Revenue ('ATIR'). On 28 October 2025, ATIR decided the appeal in favor of the company. The department has not yet filed income tax reference against the order passed by ATIR. In case, the department file income tax reference, there exists meritorious grounds to defend the case.

NISHAT POWER LIMITED 17

18

HALF YEARLY REPORT

For The Period Ended 31 December 2025

Un-audited Audited

31 December 30 June

2025 2025

Note (Rupees in thousand)

1. LONG TERM INVESTMENTS

   Investment in associates (with significant influence)

   - under equity method

   Nexgen Auto (Private) Limited

   200,000,000 (30 June 2025: Nil) fully paid ordinary

   shares of Rupees 10 each 7.1 & 7.2 -Nishat Energy Limited

   250,000 (30 June 2025: 250,000) fully paid ordinary

   shares of Rupees 10 each 7.3 -

   -

   1. Reconciliation of investment in associate under equity method:

      Cost of investment -

      Share of post acquisition reserves:

      -

      -

Opening balance

Less: Share of post acquisition loss for the period / year - net of tax

-

Carrying amount -

1. 1. The Company directly holds 200,000,000 fully paid ordinary shares of Rupees 10 each, in its associate, Nexgen Auto (Private) Limited (NAPL), representing its 33.33% equity. NAPL is a private limited company incorporated in Pakistan to carry on automobile business in Pakistan, including the assembly and distribution of New Energy Vehicles (NEVs), passenger cars, light commercial vehicles and vans. The address of the registered office of NAPL is 53-A, Lawrence Road, Lahore. Post acquisition share of loss of associate has been taken on the basis of un-audited financial statements of the associate for the year ended 31 December 2025.

   2. The Company directly holds 250,000 fully paid ordinary shares of Rupees 10 each, in its associate, Nishat Energy Limited ('NEL'), representing its 25% equity. NEL is an unquoted public company limited by shares incorporated in Pakistan to build, own, operate and maintain a coal fired power station. The address of the registered office of NEL is 1-B, Aziz Avenue, Canal Bank, Gulberg V, Lahore. NEL is no longer considered a going concern by its management and hence, the investment is fully impaired.

      NISHAT POWER LIMITED 19

      
      
      

      Un-audited Audited

      31 December 30 June

      2025 2025

      (Rupees in thousand)

      1,158,505

2. TRADE DEBTS

Other than related parties - considered good 1,661,908

8.1. These represent trade receivables from CPPA-G and are considered good. These are secured by a guarantee from the Government of Pakistan (GOP) under the Implementation Agreement and are in the normal course of business and interest free, however, delayed payment mark-up at the rate of three months KIBOR plus 1.00% per annum without compounding in case amounts are not paid within due dates. The rate of delayed payment mark-up charged during the period on outstanding amounts ranged from 11.63% to 22.99% (30 June 2025: 12.14% to 22.99%) per annum.

(Un-audited) (Un-audited)

(Rupees in thousand)

20

HALF YEARLY REPORT

For The Period Ended 31 December 2025

(Un-audited)

(Rupees in thousand)

1. TRANSACTIONS WITH RELATED PARTIES

   The related parties include the holding company, associates of the holding company, associated companies, related parties on the basis of common directorship, key management personnel of the Company and its holding company and post employment benefit plan (Provident Fund). Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly, including any director (whether executive or otherwise) of that Company. The Company in the normal course of business carries out transactions with various related parties. Details of transactions with related parties are as follows:

   NISHAT POWER LIMITED 21

   
   
   

   (Un-audited) (Un-audited)

   Nature of relationship

(Rupees in thousand)

Un-audited Audited

31 December 30 June

2025 2025

(Rupees in thousand)

22

HALF YEARLY REPORT

For The Period Ended 31 December 2025

1. RECOGNIZED FAIR VALUE MEASUREMENTS - FINANCIAL INSTRUMENTS

   1. Fair value hierarchy

      Judgements and estimates are made in determining the fair values of the financial instruments that are recognised and measured at fair value in these condensed interim financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the following three levels. An explanation of each level follows underneath the table.

      Recurring fair value measurements at 31 December 2025

      Level 1

      Level 2

      Level 3

      Total

      (Rupees in thousand)

      Financial asset

      Financial asset at fair value through profit or loss 21,852,586 - - 21,852,586

      Recurring fair value measurements at 30 June 2025

      Level 1

      Level 2

      Level 3

      Total

      (Rupees in thousand)

      Financial asset

      Financial asset at fair value through profit or loss 18,106,521 - - 18,106,521

      The above table does not include fair value information for financial assets and financial liabilities not measured at fair value if the carrying amounts are a reasonable approximation of fair value. Due to short term nature, carrying amounts of certain financial assets and financial liabilities are considered to be the same as their fair value. For the majority of the non-current receivables, the fair values are also not significantly different to their carrying amounts.

      There were no transfers between levels 1 and 2 for recurring fair value measurements during the period. Further there was no transfer in and out of level 3 measurements.

      The Company's policy is to recognise transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period.

      Level 1: The fair value of financial instruments traded in active markets (such as publicly traded derivatives and equity securities) is based on quoted market prices at the end of the reporting period. The quoted market price used for financial assets held by the Company is the current bid price. These instruments are included in level 1.

      Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.

      Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities.

      NISHAT POWER LIMITED 23

      
      
      

   2. Valuation technique used to determine fair value

      Specific valuation technique used to value financial instruments is the use of Net Assets Value (NAV) of respective Asset Management Company.

2. FINANCIAL RISK MANAGEMENT

   The Company's financial risk management objectives and policies are consistent with those disclosed in the preceding audited annual published financial statements of the Company for the year ended 30 June 2025.

3. DISCLOSURE REQUIREMENT FOR COMPANY NOT ENGAGED IN SHARIAH NON-PERMISSIBLE BUSINESS ACTIVITITIES AS THEIR CORE BUSINESS ACTIVITIES

   Un-audited Audited

   31 December 30 June

   2025 2025

   (Rupees in thousand)

   Description Financing (long-term, short-term, or lease financing) obtained as per Islamic mode
   Short term borrowings	1,999,927	309,998
   Interest or mark-up accrued on any conventional loan or advance	5,539	252
   Long-term and short-term Shariah compliant Investments
   Long term investments	1,996,918	-
   Shariah-compliant bank deposits, bank balances, and TDRs	2,145	2,082

   (Un-audited) (Un-audited)

   HALF YEAR ENDED
   31 December 2025	31 December 2024

   QUARTER ENDED
   31 December 2025	31 December 2024

   (Rupees in thousand)

   Revenue earned from a Shariah-compliant
   business segment (Note 20)	2,717,117	2,773,000	1,111,008	758,170
   Break-up of late payments or liquidated damages	-	-	-	-
   Gain or loss or dividend earned on Shariah
   compliant investments or share of profit from
   Shariah-compliant associates	-	-	-	-
   Dividend income	-	1,657	-	-
   Gain on disposal of investment in mutual funds	1,603	109,486	-	57,014
   Profit earned from Shariah-compliant bank
   deposits, bank balances, or TDRs Profit on bank deposits	47	23,210	23	78

   24

   HALF YEARLY REPORT

   For The Period Ended 31 December 2025

   (Un-audited) (Un-audited)

   HALF YEAR ENDED
   31 December 2025	31 December 2024

   QUARTER ENDED
   31 December 2025	31 December 2024

   (Rupees in thousand)

   Exchange gain earned from actual currency Exchange gains earned using conventional

   derivative financial instruments

   Profit paid on Islamic mode of financing

   Total Interest earned on any conventional loan or advance

   Profit on bank deposits

   Source and detailed breakup of other income, including breakup of other or miscellaneous portions of other income into Shariah-compliant and non compliant income

   Shariah-compliant:

   Profit on bank deposits Dividend income

   Gain on disposal of investment in mutual funds Gain on disposal of operating fixed assets Exchange gain

   Scrap sales

   Non-shariah compliant income:

   Profit on bank deposits

   Interest on loan to associated company

   Gain on disposal of Pakistan Investment Bonds Dividend income

   Gain on disposal of investment in mutual funds Unrealized gain on remeasurement of

   investments at fair value through profit or loss

   1,465

   -

   -2,414

   3,332

   47

   -1,603

   -

   -2,871

   3,332

   1,491

   -2,748

   201,744

   677,468

-9,557

65,237

23,210

1,657

109,486

39

1,465

3,512

65,237

-715

-324,393

240,051

-

-2,631

20,336

78

-57,014

39

-1,445

20,336

-

-

-96,340

150,246

NISHAT POWER LIMITED 25

Relationship with Shariah-compliant financial institutions, including banks, takaful operators and their windows, etc

Name Relationship

MCB Islamic Bank Limited Bank balance

Bank Islami Pakistan Limited Bank balance

Dubai Islamic Bank Limited Bank balance

Faysal Bank Limited Bank balance and short term borrowings

The Bank of Punjab Bank balance and short term borrowings

Bank Alfalah Limited Bank balance and short term borrowings

Meezan Bank Limited Bank balance and short term borrowings

1. CORRESPONDING FIGURES

   In order to comply with the requirements of International Accounting Standard 34 "Interim Financial Reporting", the condensed interim statement of financial position and condensed interim statement of changes in equity have been compared with balances of audited annual published financial statements of preceding financial year, whereas, the condensed interim statement of profit or loss, condensed interim statement of comprehensive income and condensed interim statement of cash flows have been compared with the balances of comparable period of immediately preceding financial year.

   Corresponding figures have been re-arranged and reclassified, wherever necessary for the purpose of comparison, however, no significant re-arrangements and reclassifications have been made in these condensed interim financial statements.

2. DATE OF AUTHORISATION FOR ISSUE

   These condensed interim financial statements were approved by the Board of Directors and authorized for issue on February 26, 2026.

3. GENERAL

Figures have been rounded off to the nearest thousand of Rupees, unless otherwise stated.

CHIEF EXECUTIVE OFFICER

DIRECTOR

CHIEF FINANCIAL OFFICER

26

HALF YEARLY REPORT

For The Period Ended 31 December 2025

NISHAT POWER LIMITED

53-A, Lawrence Road, Lahore.

Fax: 042-36367414 UAN: 042-111-11-33-33