Transmission of 1st Quarterly Report for the Period Ended 31-03-2025 (Un-Audited)

COMPANY INFORMATION

Board of Directors

Mr. M. Naseem Saigol Chairman - Non Executive

Mr. Muhammad Murad Saigol Chief Executive Officer - Executive/Certified (DTP) Mr. Muhammad Zeid Yousuf Saigol Director - Executive/Certified (DTP)

Syed Manzar Hassan Director - Executive/Certified (DTP)

Mrs. Sadaf Kashif Director - Independent/Certified (DTP) Mr. Muhammad Kamran Saleem Director - Independent/Certified (DTP) Mr. Anjum Nisar Director - Non Executive

Mr. Javed Siddique Director - NBP Nominee U/S 164 of the Act / Non Executive

Audit Committee

Mr. Muhammad Kamran Saleem Chairman/Member Mr. M. Naseem Saigol Member

Syed Manzar Hassan Member

Mrs. Sadaf Kashif Member

HR & Remuneration Committee

Mr. Muhammad Kamran Saleem Chairman/Member Syed Manzar Hassan Member

Mrs. Sadaf Kashif Member

Company Secretary

Muhammad Omer Farooq

Chief Financial Officer

Syed Manzar Hassan, FCA

Auditors

M/s Rahman Sarfaraz Rahim Iqbal Rafiq Chartered Accountants

A member of Russell Bedford International

Legal Advisor

M/s Hassan & Hassan Advocates

Shariah Advisor

Mufti Altaf Ahmed

Company Registration No.

0000802

National Tax No. (NTN)

2011386-2

Status of Company

Public Interest Company (PIC)

Stock Exchange Symbol

PAEL

Registered Office

10-G, Mushtaq Ahmed Gurmani Road,

Gulberg-II, Lahore

Tel: 042-35920151-59 (Pabx) & 042-35920133 (Direct)

E-Mail: shares@saigols.com

Share Registrar

Corplink (Pvt.) Limited

Wings Arcade, 1-K, Commercial, Model Town, Lahore

Tel: 042-35916714, 35839182,

Fax: 042-35869037

E-Mail: shares@corplink.com.pk

Manufacturing Unit I

14-K.M. Ferozepur Road, Lahore Tel: 042-35920151-9 (9 Lines)

Website: https://www.pel.com.pk

Manufacturing Unit II 34-K.M. Ferozepur Road, Keath Village, Lahore Tel: 042-35935151-2

Karachi

Ground Floor Baig Tower Near Balouch Colony Bridge, Shahrah-e-Faisal,

Karachi

Tel: 021-32200951-4

Islamabad

Room # 301, 3rd Floor,

Green Trust Tower, Blue Area, Islamabad Tel: 051-2824543, 2828941

Fax: 051-2273858

Bankers

Albaraka Bank (Pakistan) Limited Askari Bank Limited

Bank Alfalah Limited

Bank Islami (Pakistan) Limited Bank Makramah Limited Faysal Bank Limited

First Habib Modaraba

Habib Bank Limited – Islamic Banking MCB Bank Limited

National Bank of Pakistan OLP Modaraba

Pak Brunei Investment Company Limited

Pak Libya Holding Company (Private) Limited Pak Oman Investment Company Limited Samba Bank Limited

Saudi Pak Industrial and Agriculture Investment Company Limited Silk Bank Limited

Sindh Bank Limited The Bank of Khyber The Bank of Punjab Summit Bank Limited United Bank Limited

DIRECTORS REVIEW

Dear Share Holders

Hea d Office: 1J-K m, Ferozepur Road. La hare-54 7 GO Pakis!an G P O. Box No 1C1ñ. L ahore - Pakistan

TeI: . (+52 42) 359201?1- o9

Facsim ile: (+ñ2 4 2) 3592015(J Webs ite: . www.peI.elm, pk

Your directors are pleased to present the un-audited interim financial information of the

Company for the First Quarter ended on March 31, 202s.

Macro -Economic Environment

Global Economic Overview

Global growth is projected at 3.3 percent both in 2025 and 2026, below the historical (200a 2019) average of 3.7 percent. The forecast for 2025 is broadly unchanged from that in the October 2024 World Economic Outlook (WEO), primarily on account of an upward revision in the United States economy and offsetting downward revisions in other major economies. Global headline inflation Is expected to decline to 4.2 percent in 2025 and to 3.5 percent in 2026, converging back to target earlier in advanced economies than in emerging market and developing economies.

Medium-term risks to the baseline are tilted to the downside, while the near-term outlook is characterized by divergent risks. Upside risks could IiH already-robust growth in the United States in the short run, whereas risks in other countries are on the downside amid elevated policy uncertainty. Policy-generated disruptions to the ongoing disinflation process could interrupt the pivot to easing monetary policy, with implications for fiscal sustainability and financial stability. Managing these risks requires a keen policy focus on balancing trade-offs between inflation and real activity, rebuilding buffers, and lifting medium-term growth prospects through stepped-up structural reforms as well as stronger multilateral rules and cooperation.

Domestic Economic Landscape

As the ongoing fiscal year progresses towards its final quarter, Pakistan's economy is demonstrating resilience and stability, particularly on the fiscal and external fronts. Inflationary pressures have eased, thanks to declining food and energy prices, which has helped foster overall price stability. Fiscal consolidation measures are producing tangible results, leading to a primary surplus and a reduced fiscal deficit. The external sector remains robust,

Registered Office: 14-Km. Ferozepur Road. Lo here-54 T63 Pa k st«n

Tel: (+'22 4 2) fi5 9201fi1- 59 F,jra imila: (+92 42) ñ592D150 Websil‹ www pel.com. pk

PAK ELEKTRON LIMITED

Hea d Office: 1s-K m, Ferozepur Road. La hare-54760 Pakislan G P O Box Nu. 16 14, LD hore - Pakistan

Tel: ‹ +92 42 › 35^u20 1ñ"-5

Fac s inn ile: : (+92 a 2 35920 1ñ0 We bs ite: '.pel.com.pk

marked by a current account surplus, export growth, strong remittance inflows and rising foreign investment. This positive economic momentum is bolstered by growing investor confidence, as reflected in the bullish performance of the Pakistan Stock Exchange. These encouraging developments set the stage for sustained growth and moderate inflation in the coming months of the fiscal year.

For the Rabi season 202W25, wheat production is targeted at 27.9 million tons, supported by government initiatives such as input subsidies, distribution of high-yielding seeds, and interest-free loans under the Kissan Card initiative

Large-Scale Manufacturing (KM) remained on a bumpy recovery path in January 2025, with month-on-month (MoM) growth edging up by 2.1 percent, indicating a slight improvement from December 2024. However, on a year-on-year (YoY) basis, LSM contracted by 1.2 percent, compared to 1.1percent growth in the same month last year. During July—January FY2025, LSM posted an overall decline of 1.8 percent, steeper than the 0.6 percent contraction observed in the corresponding period of the previous year.

In February 2025, Consumer Price Index (CPI) inflation was recorded at 1.5 percent on a year-on-year (YoY) basis, marking a significant decline from 2.4 percent irt the previous month and

23.1 percent in February 2024. On a montti-on-montti |MoM) basis, CPI decreased by 0.8 percent, compared to a slight increase of 0.2 percent in January 2025.

The Sensitive Price Indicator (SPI) for the week ended on 20th March 202S recorded a decrease at 0.35 percent compared to the previous week. During this period, among others, prices of 18 items declined, 22 items remained stable, while 11 items registered an increase.

The fiscal consolidation measures undertaken by the government have yielded encouraging results, reflecting notable improvements in the fiscal accounts during the first seven months of FY2025. The fiscal deficit narrowed to 1.7 percent of GDP in Jul—Jan FY2025, down from 2.6 percent in the same period last year.

The Federal Board of Revenue (FBR) also reported a 25.9 percent increase in tax collections during Jul-Feb FY2025, reaching Rs. 7,343.9 billion, with domestic taxes rising by 27.4 percent and customs duties by 15.4 percent.

The external account position of Pakistan has strengthened notably, driven by sustained growth in exports and a substantial rise in workers' remittances, despite an upward trend in imports. During July-February FY202S, the current account posted a surplus of $691 million, a

Registered Office:14-Km. Ferozepru .url. Lahore-54760 Pakistan

Tel (+92 42 › 35920 T51-59 Facsim4e ‹+.+2 42) 35320150 Website www pel com.pk

PAK ELEKTRON LIMITED

Head Office: 14-Km. Ferozepur Road. Lahore-54 760 Pak›stan

G.P O. Bcx No. 16 14, Lahore - Pakista iJ

Tel: . (+é2 4 2 35tJ20 1ñ1- 59

Facs imile: : (+92 42) J5ñ20 150

Website: : w'aw pel cont Ok

marked improvement from the deficit of S1,730 million recorded during the same period last year. However, in February 202S alone, the current account showed a deficit of $12 million, compared to a surplus of $71 million in February 2024. Goods exports increased by 7.2 percent to $21.8 billion, while imports rose by 11.4 percent to $38.3 billion, resulting in a trade deficit of $16.5 billion compared to $14.1 billion last year.

INDUSTRY OVERVIEW

The manufacturing sector in Pakistan showed mixed results as of March 2025. While Large-Scale Manufacturing (LSMj grew by 2.1 percent month-on-month in January, it contracted by

1.2 percent year-on-year, indicating ongoing challenges like high input costs and inflation. However, certain sub-sectors, such as the cement industry, showed positive growth, with dispatches up by 10.1 percent in February 202S. Despite some growth in specific industries like textiles and pharmaceuticals, the overall outlook for manufacturing remains cautious due to structural issues and global market uncertainties.

Company Performance Overview

During the period under review, the company's performance has shown significant improvement, driven by continuous research and development, the introduction of market-competitive models, and a strong focus on energy efficiency and advanced features. By launching energy-efficient and aesthetically enhanced products, the company has capitalized on rising lifestyle standards, urbanization, and the increasing purchasing power of consumers.

Export of transformers to USA and company's multi-brand strategy, in the home appliances division also contributed in this growth.

Summary of operating results is presented as below:

Registered Office:14-Km, Feb ozepui Road, Lahore-54760 Pnkislan

Tel: (+92 42) 25J201ñ1- 5'2 Facsimile!(" fi2 42) 35920150 Website: www.}›eI.cont.pk

PAK ELEKTRON LIMITED

Head Office: : 14-Km. Ferozepur Road. Lahore-54760 Pakistan

G.P.O. Box No. J614, Lahore - Pakistan

Tal: (+92 42) 35020151-59

Facsimile: : (+92 42) 35920150 Website: : https://www.pel.com.pk

During the first quarter, the company recorded a notable revenue growth of 17.7 e , reaching Rupees 19,387 million compared to Rupees 16,471 million in the corresponding period of the previous year. Gross profit also increased significantly, rising by 9.51°A to Rupees 3,765 million from Rupees 3,438 million in the same period last year. Additionally, financial charges fell by Rupees 288 million due to better cash management and reduced policy rate.

As a result, the company's profit after tax increased to Rupees 657 million, up by Rupees 212 million from last year's Rupees 445 million. This growth was driven by higher sales, a stronger supply chain and improved market confidence along with early signs of economic recovery boosting household spending.

Appliances Division

During the period under review, the Appliance Division experienced a remarkable 59.32% increase in revenue, reaching Rupees 13,093 million compared to Rupees 8,218 million in the same period of the previous year.

Stable economic conditions, including a steady exchange rate and stable inflation, boosted consumer purchasing power and increased demand for home appliances. PEL capitalized on its thorough product innovation, a wider distribution network and smart pricing strategies further strengthening its market leadership.

PEL has entered into a strategic partnership under a Licensing Agreement with Electrolux AB, a global leader in multi category home appliances. The collaboration aims to leverage strength of the Company to drive sustainable growth.

Power Division

During the period under review, the Power Division recorded a 23.75°4 decline in revenues, amounting to Rupees 6,293 million compared to Rupees 8,253 million in the corresponding period of the previous year.

This decline is primarily attributed to a timing diHerence of order in-take in this segment. Nevertheless, the growing demand for electricity has led the government to initiate upgrades in the Transmission and Distribution (T&D) infrastructure, creating new growth opportunities within the sector. Additionally, continued industrial expansion and a rising housing sector are further driving demand for the Power Division's offerings.

Registered Office:14-Km, Ferozepur Road. Lahore-54760 Pakistan

Te!! (+92 42) 35 920151-59 Facsimile:(+92 42) 25920150 Website: www.pel com.pk

PAK ELEKTRON LIMITED Head Office:

Tel: Facsimile: Website:

14-Km, Ferozepur Road, Lahore -54760 Pakistan

G.P O Bob No. 1614, Lahore - Pakistan (+92 42) 3592D151- 59

(+92 42) 3592D150

. https://www.pet.com.pk

PEL has successfully commenced its export operations to the United States of America.The first consignment of transformers has sailed from Pakistan on March 13th 2025. This marks a

significant milestone in our business expansion strategy and reflects our commitment to exploring new international markets. We remain dedicated to enhancing our global footprint and delivering high-quality products to our customers worldwide.

Recently Tariff regime is implemented by USA resulting inflationary trend, which may affect the demand side however we think that the demand of Transformers is inelasticand with an increase in price the demand will not be affected in proportionate man»er. Further certain competitive countries duty rates are even higher than Pakistan such as China, Vietnam and many other countries. There is a likely chance of reduction in raw materials cost due to imposition of Tariff and lowering of Oil prices and surplus capacities in international markets.

Future Outlook

Global Economic Outlook

The global economic outlook for 2025 is showing slow but steady growth. Some countries, especially developing ones, are doing better because of strong locai demand and rising prices for goods like oil and metals. However, many richer countries are growing more slowly due to high interest rates and inflation. There are still risks, such as conflicts between countries and problems with global trade. On the bright side, new technology and a shift toward cleaner energy give hope for a stronger and more sustainable future.

Country Economic Outlook

Pakistan's future outlook is optimistic, with key sectors like agriculture and manufacturing showing potential for growth. Government initiatives aimed at supporting farmers, combined with favorable weather conditions, are expected to help meet agricultural production targets. Additionally, the manufacturing sector is showing signs of resilience, with positive growth in areas like cement sa)es and automobile production, which could help boost industrial output if demand conditions remain strong.

On the external side, exports, imports, and remittances are anticipated to continue rising. Seasonal factors are expected to further increase remittance inflows, providing much-needed support to the economy. This steady flow of remittances, along with the expansion of economic activity, should help stabilize the economy and provide a foundation for growth in the coming months.

Registered Office: 14-Kn1, Ferozepur Roaa, Lahore-54760 Pakistan

Tel: (+92 42) 35920151- 59 Facsimile: (+92 42) 35920150 Website https://www.pet.com.pk

PAK ELEKTRON LIMITED

Head Office: : 14-Km. Ferozepur Road. Lahore-54760 Pakistan

G.P.O. Box No. 1614, Lahore - Pakistan

Tel: ! (+s2 42 3sgzo1s1-59 Facsimile: (+92 42) 35920150 Website: https://www.pel.com.pk

Whiie challenges like, tariff, inflation and industrial weaknesses remain, the outlook for inflation is manageable, with only a slight increase expected. If key sectors continue to grow artd external conditions stay favorable, Pakistan's economy should maintain stability, helping to keep the current account within manageable limits. Overall, the future outlook remains positive as long as the economy remains supported by these key drivers.

Company Future Outlook

The company is working on expanding globally by focusing on exports and improving its products. It successfully entered the U.S. power market and plans to continue growing internationally by using its expertise and high-quality standards for long-term success.

Acknowledgement

We would like to thank our Board of Directors for continuous support and guidance. We are also thankful to our team for their dedicated efforts to make the company operationally sustainable through this challenging era.

We are confident with continued team efforts that we will meet expectation of all stake holders i.e., Shareholders, Creditors and Customers.

On behalf of the Board of Directors

Lahore

April 28, 2025

M. Murad Saigol M. Zeid Yousuf Saigol Chief Executive Offic r Director

Registered Office:14- Km, Ferozepur Road. Lahore-54760 Pakistan

Tel. (+92 42) 3s9zo›s1-sg Facsimile: (+g2 42) 35320 50 Website. www.pel com.pk

PAK ELEKTRON LIPlITED

STATEMENT OF FINANCIAL POSITTOh AS AT F't1RCft 3t, 2025

Equrrv ‹ D kMBtLlTtES

SHARE CAPITAL AND RESERVES

Authorized Capital

Npte

I•larch 31, oecember 31,

2025 2024

[Rupees In Thausands)

I t,000,000 11,000,000

ASS£TS

NON CURRENT ASSEYS

Note

g4arch 3E, December 31,

2025 2024

(Rupees In Thausands)

Rev8ughon reserve

5,472,9Q0

$,520,508

Advances for capilal expenditure

Relénede nings

24,1074S

29,499,298 29,076,ZZ4

now-cuRReNz ciABtLITIES

Long term financing 9

Lease Liabilities

Warranty obligahons Deferred taxation Deferred income

CURRENT MOBILITIES

Trade and other payables Unclaimed Dividend Accrued interest/ mark up

Short term borrowings 1 I

Income taxes payable

Current Portion of Non Current LJahiliLies

W,41i,996

3,8t0,4)7

45,670 t42,827 5,523,012

26,699

43,7@,965

4,250,000

53,79S

118,765

5,511,983

27,037

j4

Long term advances

CURRENT ASSETS

Stores, spare parts and loose tods

Stock-in-Lrade

Trade debls

ConStrUction work In F0gr9S9

short Term Advances

Short term depos‹Ls and prepayments Other receivables

Short terns investments

Advance income tax Cash and bank balances

J9,560

613,063

474,083

21,888

639,930

196,520

23,693,745

18,812,785

47,063,362 e2,304,769

CONTIGENC1ES AND CONNITMENTS l2

y7,664,366 72,539,331 77,664,3G6 71,S39,331

The annexed notes I to 2Q form an integral part of these interim financial statements. •

i•1. fdURAD A7GOL

Chief Executive Officer

i•1. ZEID YOUSUF gAtGOL

Director

ANZAR HASSAN

Chief Financial Officer

5TATE51ENT OF PROFIT OR LOSS

FOR THE QUARTER ENDED NIARCH 31, 2025

Quarter Ended

Note

fi4arch 31,

2025

March 31,

2024

(Rupees in thousand)

The annexed notes 1 to 20 form an integral e these interim financial statements.

I•1. MURAD SAI M. ZEED U UF SAZGOL

Chief Executive Officer Director

SY ANZAR HASSAN

Chief Financial Officer

PAL Ekt-isTkUN Mind r £Et COND€H5EP TNTERIf"I STATEHEMT OF CHANGES 1tg EQUITY

FOR THE gUA tJ£n ENDED f'tARCfiI 31, 2025 ( Un- Audited )

Baanoe as at January 01, 2024 Totalcommehensive imcomefc‹the0eñoO fncrm•nentaI ckDreciabon

Iwfefnm[a| deoreciabon

Balance as at December 31, 2024 Coversion of Preference Sha•cs

{wnenientodepxia00

Balance ac at ¥'garch 31. 2025

Fs. FtURAD SA¥GDL

chief Executive Officer

21,067.369

<+K997

I,9JJ,OZZ

i,9l2,077

8,560,121 449,576

S,610,856

21,SG2.479

0*.B7O.DOB

SO, 1 13

8,56O.*21

(226,798)

fi57,031

9 236 49

]B lO* 7BS

97,608

Fs. zero xousuF ss£soL

Director

C50.112)

{9 7,60&)

S EO

41,4J5.211

444,997

B HASsAN

n ci•i Ofñcer

PAK ELEKTRON LI¥1ITED

CASH FLOW STATEt•1ENT

FOR THE QUARTER ENDED fdARCH 31, 2025 ( Un- Audited )

F'1arch 31, Harch 31,

2025 Z024

Cash flows from operating activities (Rupees in thousand)

The annexed notes 1 20 forn› an integral part of these interim financial st ts.

i'd. NIURAD SAIG

Chief Executive icer

?'1. ZEID YOUSUF SAIGOL

Director

5 E ANZAR HASSAN

C “ f inancial Officer

PAK ELEKTRON LIMITED

nOTES.To THE CONDENSED INTERM FINAnClAL STATE/AEIJTS FOR THE QUARTER ENDEO MMCH 31, 2015 (.Uo- Aud1te’4 )

Pak EléXtzon Liml;red bthe Cornpan/l vrsi. ir<>u a Public Umlted Canpany In Pakistan urrepeaed Catoan4es Act, 1g 13 w 03 march 19S6. Reghtwed offke of the Company b'étua red In the':province of Pu/ab ac 7 -Azzz Avenl, Cañal bank. Gutbezg - Y, Lahore. The menutaciunng fociits a/ tM CafipanY are located at 34 x.w ,

Ferozeptx Ro¥d. Keach Village. Lahwe and *1*4 KM., F4roze/nx 4oad, Lahore. The psny is listed m PaX can 5EocJc

fil Dewar' 0tason: Manufectucini'and sale or Transfo'm'ers; S«archgeais, Energy uetefs'and Englneerlog, Pn" ”

Tfie e Interim Hnsncii I Mtemtnti +re str +udned and ture been premie'4 In' ccodéméd fv*n eM de rret Include art the

Ttie com'pa atlw'1nt»nm âitanc *heet â1 ar Decémber J I, t0J‹ a'nd tfie reiaced t'o tI'ie cond+•ud in‹enñi ftn+rinratmauon are.base4 u audited r‹nanoal statements. ae coup+r+t‹•e Jntenm profit ar›iosi eccouni. Intgnm tesh riot'

aPeiiobie in Eiitan ft nte•wi fionmiul rej nin . the ecmnfin arid i in ip.uamnrds ai sppiicsbtr in Plutsn ter interim

incematwal amounting standard J<- in‹erJm «in «-I+I eepon‹ny, t»'ued by ‹ntéma at tiny stenaire‹ 8berd liasaj sr notifli d nder. he companei ect, Z0 7: and

men an.aIrematI*'e basjs m..at tile reputing date.

:Mhandmlñmbll+n*i

nanhet$selA

Land &idl4n0 pbntcndmmhlnew

.aoodcted usuns\oru and )udtements.are based af hot>1caI experIance.end 'sar1oa.mher tacta4s that are believe te be.

r as Webe urder the clr'cum tances , the rscuit af which rorm› the 6a¥4y ef msMng } d wr w aw denying.fiaI«ei et x¥seu.and

1abIItIei''kaE'cre not readily appñrent*t*iom'ett+er mJrcec: uJat res«tri *may dlffw frorfi h+eye mtlmatafi.*

EitJiiiatn' *ia un6erI9nt'niiurnptiorfi' are 'revlevmd on'en oiigelh Auth. 'R'dilñs to sccounling'iiiimateñ.em recegniied in'tire

same at. IJ«›se apglW in The preparation of preceding anmtal financial vtatemnts of t+ig comgarry for the year ended 0*ecember

un cvdit•a

perch I, 0ecem¥er 2y ,

203S 2'02¥

8upeea In theuandl

z0zs t0l4

Fully paid A elm prefwsncs sturet of M. i0 cleft

202s

e,a›s; Yes "

202u

8, t0,1 Z2

Add: hioe8dudngtflmye* enconmmon ofpiiCemncekm$i

856,O4 2,1SP d56,0t2.155

vyJ,6a¥,so as‹,oi 2, 1 ss

Curze«t rñaturity praAe«ted nder current li>bllitie

5,¥7t,70B

1,H0,8JJ

›I.ass

3.556.050

as.sz<

2 &69 47t

ys,eu,m u,sza.w

95an39

492.Hn

jg,5eg 21,Bgg

2025 JO2*

16, 465., IS5

2.8l0,G9t

i t.7i7.9s2

Raw material calmed

7,8M,67;

12.74a.$1 I

9,280,2B2

a 7i d 5