Transmission of 1st Quarterly Report for the Period Ended 31-03-2026 (Un-Audited)

‌Contents

Corporate Information Directors' Review

CONDENSED INTERIM FINANCIAL INFORMATION

Condensed Interim Statement of Financial Position

Condensed Interim Statement of Profit or Loss and Other Comprehensive Income Condensed Interim Statement of Changes in Equity

Condensed Interim Statements of Cash Flows

Notes to the Condensed Interim Financial Information

‌t Pak Elektron Limited

CORPORATE INFORMATION

BOARD OF DIRECTORS

Mr. M, Naseem Saigol

Mr. Muhammad Murad Saigol

Mr. Muhammad Zeid Yousuf Saigol Syed Manzar Hassan

Mr. Muhammad Omer Farooq Ms. Sadaf Kashif

Mr. Muhammad Kamran Saleem Mr. Javed Siddique

AUDIT COMMITTEE

Chairperson | Non-Executive

Chief Executive Officer - Executive/Certified (DSP) Director - Executive/Certified (DTP)

Director - Executive/Certified (DTP) Director - Non Executive/Certified (DTP) Director - Independent/Certified (DTP) Director - Independent/Certified (DTP)

Director - NBP Nominee U/S 164 of the Act / Non Executive BANKERS

Mr. Muhammad Kamran Saleem Syed Manzar Hassan

Mr. Muhammad Omer Farooq Ms. Sadaf Kashif

HR AND REMUNERATION COMMITTEE

Mr. Muhammad Kamran Saleem Syed Manzar Hassan

Mr. Muhammad Omer Farooq

COMPANY SECRETARY

Khawaja Safee Sultan, CS

CHIEF FINANCIAL OFFICER

Syed Manzar Hassan - FCA AUDITORS

Rahman Sarfaraz Rahim Iqbal Rafiq

Chartered Accountants

A member of Russell Bedford International

LEGAL ADVISORS

Hassan & Hassan Advocates SHARIAH ADVISOR

Mufti Altaf Ahmad

SHARES REGISTRAR

Corplink (Private) Limited Wings Arcade,

1-K, Commercial Model Town, Lahore T: +92 42 35916714, 35839182

F: +92 42 35869037

E: shares@corplink.com.pk

COMPANY INCORPORATION NO. 0000802

NATIONAL TAX NO. [NTN]. 20J 1386-2

STATUS OF COMPANY

Public Interest Company (PIC)

STOCK EXCHANGE SYMBOL PAEL

Chairperson

Member Member Member

Chairperson Member Member

Albaraka Bank (Pakistan) Limited

Askari Bank Limited Bank Alfalah 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 China Investment Company Limited Pak Oman Investment Company Limited

Pakistan Kuwait Investment Company Limited PAIR Investment Company Limited

Samba Bank Limited

Saudi Pak Industrial and Agriculture Investment Company Limited Sindh Bank Limited

The Bank of Khyber The Bank of Punjab United Bank Limited

REGISTERED OFFICE

10-G, Mushtaq Ahmed Gurmani Road, Gulberg-II, Lahore

T: +92 42 35920151-59

E: shares@saigols.com

ISLAMABAD OFFICE

Office no. 301, 3rd Floor,

Green Trust Tower, Blue Area, Islamabad T: +92 51 2824543, 2828941

KARACHI OFFICE

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

T: +92 21 32200951 -4 MANUFACTURING UNIT I

14 KM Ferozepur Road, Lahore

T: +92 42 35920151 -9

MANUFACTURING UNIT II

34 KM Ferozepur Road, Keath Vilage, Lahore T: +92 42 35935151-2

‌DIRECTORS' REVIEW

" ° - .,Jnterim Financial Report | March 31, 2026

Dear Share Holders

We are pleased to present the un-audited interim financial information of the Company for the 1st Quarter ended on March 31, 2026.

FINANCIAL & OPERATIONAL REVIEW

i1 aero -Ecunomic Environment Global Economic Overview

The global economy during the first quarter of 2026 showed moderate but fragile growth, with overall expansion estimated at around 3%, though subject to increasing downside risks. Earlier expectations of declining inflation have shifted, as rising energy and food prices, largely driven by geopolitical tensions in the Middle East, have renewed inflationary pressures across many economies. This has created a challenging environment for central banks, which must balance controlling inflation with supporting economic growth. At the same time, financial conditions remain tight, and uncertainty in global markets has increased due to fluctuations in oil prices and trade dynamics.

Growth patterns remain uneven across regions. Advanced economies continued to expand at a slower pace, reflecting weaker demand and structural challenges, while emerging markets, particularly China and India, remained key drivers of global growth. Despite some resilience supported by steady consumption and investment, the global outlook remains cautious. Factors such as elevated global debt levels, supply chain disruptions, and increasing trade fragmentation continue to pose risks, potentially affecting economic stability and growth momentum in the coming quarters.

C omestic Economic Laildscape

Pakistan's economy experienced encouraging progress across key indicators during the first nine months of FY2026. Notably, the current account recorded its largest surplus of the year in February, supported by remittances growth and decline in imports. IT exports continued the growth momentum, reinforcing the country's development in digital transformation. Resultantly, foreign exchange reserves rose to a four-year high, with a notable rise in central bank holdings, signaling stronger sovereign liquidity and better crisis response capacity. Meanwhile, large-scale manufacturing recorded strong double-digit groMh in January, adding further impetus to industrial recovery and supporting overall economic activity. In the wake of emerging U.S/Israel & Iran conflict, proactive planning and austerity measures on the energy front are helping secure adequate fuel reserves thereby ensuring smooth operations. Despite regional and external challenges, Pakistan's preparedness and reform measures, along with encouraging progress on the domestic front, are laying the groundwork for sustainable growth prospects.

For the Rabi season 2025-26, wheat production is targeted at 29.7 million tons (last year production: 28.4 million tons). The sowing position remained better compared to last year due to government's support. However, the final yield will largely depend on weather conditions, particularly at the crop's maturity and cutting stage.

Large-Scale Manufacturing (LSM) registered groMh of 5.8 percent during Jul- Jan FY2026 against the contraction of

J.7 percent last year. This growth is mainly driven by the automobile, wearing apparel, coke & petroleum products and food with contribution of 1.6 percent, 1.3 percent, 0.9 percent, and 0.6 percent, respectively. In January 2026, LSM index reached at its highest of 144 after March 2022 and witnessed a substantial growth of 10.5 percent year-on-year (YoY) and 12.1 percent on month-on- month (MoM) basis.

CPI inflation recorded at7.0 percent on YoY basis in February 2026 as compared to 5.8 percent in the previous month and 1.5 percent in February 2025. On average, during Jul-Feb FY2026, inflation stood at 5.5 percent against 5.9 percent same period last year. The Sensitive Price Indicator for the week ending March 26, 2026 increased by 0.97 percent. During the week, out of 51 items, prices of 23 items increased, 06 items decreased and 22 items remained stable.

The overall fiscal position during Jul-Jan FY2026 shows remarkable fiscal consolidation, with fiscal deficit contained at Rs. 64.7 billion as compared to Rs. 2,070.9 billion last year. In February 2026, the current account recorded a surplus of $427 million, containing the aggregate position during Jul-Feb FY2026 to a deficit of $700 million. Goods & services expoits recorded at $27.2 billion compared to $27.4 billion last year.

The Monetary Policy Committee in its decision on 27th April, 2026 decided to increase the policy rate to 11.50%. Equity market witnessed bearish trends at the Pakistan Stock Exchange (PSX) in the 3Q of FY2026. The KSE-100 Index, closed at 148,743 at Mar-26 as investors exercised caution due to continued geopolitical tensions in the region. Market capitalization reached to Rs. 16,530 billion by the end of Mar-26.

‌ i•'- Pak Elektron Limited

DIRECTORSf REVIEW

Pakistan industrial sector has shown gradual recovery and improving momentum during FY2026, supported by better availability of raw materials, relative stability in foreign exchange reserves, and easing import restrictions. Large-Scale Manufacturing (LSM) recorded growth of around 5.8% (Jul-Jan FY2026), with key contributions front automobiles, textiles, food, and petroleum products, reflecting a rebound in industrial activity. However, the sector continues to face challenges, including elevated energy costs, tight financing conditions with the policy rate of 11.50%, and emerging external pressures stemming from global geopolitical tensions, particularly the U.S.-Iran conflict, which has led to higher oil prices and increased input costs. Despite these headwinds, improving demand conditions, supportive government policies, and a focus on export-oriented growth are expected to sustain industrial expansion, although the outlook remains cautiously optimistic.

Company Performance Overview

During the period under review, the Company delivered improved performance, driven by continued R&D, introduction of energy-efficient and market-competitive products, and a focus on innovation and modern design. Growing consumer demand supported by urbanization and rising purchasing power further strengthened sales momentum.

Export growth in transformers to the United States and the multi-brand strategy in the home appliances segment also contributed to overall performance, enhancing market reach and supporting steady business growth.

Summary of operating results is presented as below:

During the period under review, the Company achieved strong financial performance, supported by improving macroeconomic conditions and rising consumer demand. Revenue recorded si9nificant growth of 39.67%, increasing to Rs. 27,078 million compared to Rs. 19,387 million in the corresponding period last year. This growth was primarily driven by higher sales volumes, improved product mix, and strengthening market confidence amid early signs of economic stabilization.

Gross profit also improved substantially by 32.03%, reaching Rs. 4,971 million compared to Rs. 3,765 million in the same period last year, reflecting better operational efficiency and cost management. Financial charges declined by Rs. 1 S million, mainly due to improved cash flow management and a relatively stable monetary environment with easing financial pressures.

As a result, the Company's profit after tax increased to Rs. 870 million, compared to Rs. 657 million in the corresponding period of the previous year. The improvement was supported by stronger sales performance, a more efficient supply chain, and gradual recovery in overall economic activity, which contributed to increased consumer spending and improved business sentiment during the period.

Appliances Division

During the period under review, the Appliance Division delivered strong performance, recording a 49.20% increase in revenue to Rs. 19,534 million, compared to Rs. 1 3,093 million in the corresponding period last year. The growth was supported by improving macroeconomic stability in FY2026, including relatively stable inflation and exchange rates, which helped strengthen consumer purchasing power and boosted demand for home appliances.

The Company effectively capitalized on this favorable environment through continuous product innovation, an expanded distribution network, and competitive pricing strategies, further reinforcing its market position. In addition, the strategic partnership under a Licensing Agreement with Electrolux AB, a global leader in multi-category home appliances, is expected to enhance product offerings and support long-term sustainable growth by leveraging combined strengths and global expertise

‌"InterimFinancial Report | March 31, 2026 I

Power Division

During the period under review, the Power Division recorded a 19.84% increase in revenue to Rs. 7,543 million, compared to Rs. 6,294 million in the corresponding period last year. The growth was supported by rising demand from ongoing upgrades in Transmission and Distribution (T&D) infrastructure, along with continued industrial expansion and increased activity in the housing sector.

TI e Division also achieved a key milestone in the previous year with the commencement of export operations to the United States of America, marking an important step in the Company's international expansion strategy. This development underscores the Division's focus on expanding its global footprint, strengthening export potential, and positioning itself as a competitive supplier of high-quality power equipment in international markets.

F'iture Outloolt

Clobal Economic Outlool‹

The global economic outlook for the current quarter of 2026 indicates moderate but uneven growth of around 3%, with heightened uncertainty driven by geopolitical tensions, particularly the U.S./Israel Iran conflict, which has disrupted energy markets and pushed up global oil prices. This has increased inflationary pressures and added volatility to global trade and supply chains. Advanced economies are growing at a slower pace due to tight financial conditions and subdued demand, while emerging markets, especially in Asia, continue to provide relative support to global growth. However, risks such as rising global debt, trade fragmentation, and currency fluctuations continue to weigh on the outlook, making the global economy resilient but increasingly vulnerable in the near term.

Country Economic Outlook

The country's economic outlook for the coming quarters is cautiously positive, supported by improving macroeconomic stability, better external account position, and rising remittances. Gradual recovery in industrial activity, agriculture, and services is expected to sustain growth momentum, while export sectors such as textiles and IT will continue to contribute to foreign exchange inflows.

However, the outlook remains exposed to risks including global commodity price volatility, particularly energy prices, geopolitical uncertainties, and domestic fiscal pressures. Inflation is expected to remain moderate but sensitive to external shocks. Overall, continued reforms and prudent economic management will be key to maintaining stability and supporting sustainable growth.

< uiripany Luture Outlook

The Company's outlook remains cautiously positive, supported by improving economic conditions and rising demand in power and appliances sector. However, risks such as inflation, currency volatility, and global uncertainty persist. Continued focus on efficiency and exports is expected to support steady growth, going forward.

A i‹iaowledgen1ent

We would like to thank Board of Directors for continuous support and guidance. Wee 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.

Lahore

April 29, 2026

. Murad

Saig

I

Chief Executive Officer

‌Pak Elektron Limited

‌' c, ,v/:'

' '^' ' *Mlnterim Financial Report | March 31, 2026

‌Pak Elektron Limited

‌m Financial Report | March 31, 2026

r2026/.¿ 29

‌Pak Elektron Limited

STATEMENT OF FINANCIAL POSITION (Un- Audited)

AS AT MARCH 31, 2026

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

MOU D

Chief Executive Officer

M. ZEID YOUSUF SAIGOL

Director

‌'" * Interim Financial Report | March 31, 2026 ma

ASSETS

‹0 £J-CL RkENT ASSETS

Note

March 31, December 31,

2026 2025

Rupees "O00" Rupees "000"

Stores, spare parts and loose tools Stock-in-trade

Trade debts

Construction work in progress Short Term Advances

Short term deposits and prepayments Other receivables

Short term investments Advance income tax Cash and bank balances

5Z,81 1,089

53,894,971

87,405,304

SYE N AR HASSAN

Chie inancial Officer

‌ ra Pak Elektron Limited

STATEMENT OF PROFIT OR LOSS

FOR THE QUARTER ENDED MARCH 31, 2026 (Un-Audited)

Three Months Period Ended

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

‌

CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY

FOR THE QUARTER ENDED MARCH 31, 2026 (Un-Audited)

Issued

‌ Pak Elektron Limited

CONDENSED INTERIM STATEMENT OF CASH FLOWS

FOR THE QUARTER ENDED MARCH 31, 2026 (Un-Audited)

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

‌' " " Interim Financial Report | March 31, 2026

NOTESTOTHECONDENSED|NTERM FNANCALSTATEMENTS

FOR THE QUARTER ENDED MARCH 31, 2026 (Un-Audited)

"I LEGAL STATUS AND OPERATIONS

Pak Elektron Limited ['the Company'] was incorporated as a Public Limited Company in Pakistan under the repealed Companies Act, 1913 on 03 March 1956. Registered office of the Company is situated in the

province of Punjab at 17 - Aziz Avenue, Canal Bank, Gulberg - V, Lahore. The manufacturing facilities of the i

Company are located at 34 K.M., Ferozepur Road, Keath Village, Lahore and 14 K.M., Ferozepur Road, Lahore. The Company is listed on Pakistan Stock Exchange Limited. The principal activity of the Company is manufacturing and sale of electrical capital goods and domestic appliances.

The Company is currently organized into the following operating divisions:

(i

(ii)

_ bASIS OF PREPARATION

These interim financial statements are un audited and have 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 annual audited financial statements of the company for the year ended December 31, 2024.

The comparative interim balance sheet as at December 31, 2025 and the related notes to the condensed interim financial information are based on audited financial statements. The comparative interim profit and loss account, interim cash flow statement, interim statement of changes in equity and related notes to the condensed interim financial information for Three months ended March 31, 2025 are based on unaudited intei im financial information.

Measurement basis

Amortized cost Amortized cost Equity method Fair Value Revalued amounts Present Value

The preparation of interim financial statements requires managements to makejudgements, estimates and assumptions that affect the appliacation of accounting policies and the reported amounts of assets, liabilities income and expenses. The estimates and associated assumptions and judgements are based or historical experiance and various other factors that are believe to be reasonable under the circumstances , the result of which forms the basis of making judgements about carrying values of assets and liablities that are not readily apparent from other sources. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimatecl are recognised in the period in which the estimated is revised and in any future periods affected.

1. FUNCTIONAL CURRENCY

   This financial information is prepared in Pak Rupees which is the Group's functional currency.

2. ACCOU NTING POLICIES AND METHODS OF COMPUT/‹TIGN

   The accounting policies and the methods of computation adopted in the preparation of these interim financial statements are the same as those applied in the preparation of preceding annual financial statements of the company for the year ended December 31, 2025.

3. DATE OF AUTHORIZATION FOR ISSUE

   These interim financial statements have been approved by the Board of Directors of the company and authorized for issue on April 29, 2026.

   62,500,000 37,500,000

   62,500,000 37,S00,000

4. AUTHORIZED CAPITAL

‌ I:N Pak Elektron Limited

‌" ' Interim Financial Report | March 31, 2026 mu

1 3.2

This represents investment in ordinary shares of Kohinoor Power Company Limited ['KPCL'], an associate. KPCL is a Public Limited Company incorporated in Pakistan under the repealed Companies Ordinance, 1984 and is listed on Pakistan Stock Exchange Limited.

The investment has been accounted for by using equity method.

Three Months Period ended

i

‌Pak Elektron Limited

1. EARNINGS PER SHARE - BASIC AND DILUTED

   The calculation of basic profit per ordinary share is based on the following data:

   Three Months Period ended March 3t, March 31,

   
   
   

   2026 2025

   • fi›ees "000" Rupees "000"

   Profits for the period Number of shares

   Weighted average number of ordinary shares for

   870,235 (Number)

   657,03 1

   the purpose of basic profit	923,649,501	923,649,501
   Basic earnings per share (Rupees)	0.94	0.7J

2. TRANSACTIONS WITH RELATED PARTIES

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

   
   
   

   Transactions with key management personnel are limited to payment of short term employee benefits only. The company in the normal course of business carries out various transactions with other related parties and continues to have a policy whereby all such transactions are carried out on commercial terms and conditions which are equivalent to those prevailing in an arm's length transaction.

   Details of transactions and balances with related parties is as follows:

   Relationship Nature of transaction

   March 31, March 31,

   Z0Z6 2025

   R*fi›ees "000" Rupees "000"

   Provident Fund Trust Contribution for the period		4347]	37,021
   Associated company	Services acquired	1,069	2,009
   	Commission	82,239
   Key Management Personnel	Short-term employee benefits	18,83S	15,961
   	Post employment benefits	791	586

   
   
   

   Interim Financial Report | March 31, 2026

   
   
   

   1. ‌All transactions with related parties have been carried out on commercial terms and conditions.

! 8 GENERAL

18.1 Figures have been rounded off to the nearest thousands.

1 8.2 Comparative figures have been rearranged and reclassified, where necessary for the purpose of comparison . However there were no significant reclassification during the year.

.: 0 OTHEFtS

I There are no other significant activities since December 31, 2025 affecting this condensed interim financial information.