Transmission of Quarterly Report for the Period Ended 31.12.2025

02

Company Information

03

Directors' Report

05

Shariah Review Report

07

Auditor's Review Report

08

Condensed Interim Statement of Financial Position (Un-audited)

09

Condensed Interim Statement of Profit or Loss (Un-audited)

10

Condensed Interim Statement of Comprehensive Income (Un-audited)

11

Condensed Interim Statement of Changes in Equity (Un-audited)

12

Condensed Interim Statement of Cash Flows (Un-audited)

13

Notes to the Condensed Interim Financial Statements (Un-audited)

Human Resource & Remuneration Committee

Chairman

Members

Board of Directors

Chairman

Chief Executive Officer

Directors

Mr. Ahmad Hassan

Mr. Muhammad Adrees

Mr. Ijaz Hussain

Mr. Haroon Ahmad Zuberi

Mr. Abdul Awwal

Mr. Najmul Hoda Khan

Mrs. Shala Waheed Sher

Mr. Mazhar Ali Khan

Mr. Zakir Hussain (FCA)

Company Secretary

Chief Financial Officer

Audit Committee

Chairman

Members

Mr. Haroon Ahmad Zuberi

Mr. Najmul Hoda Khan

Mr. Abdul Awwal

Mr. Ahmad Hassan

Mr. Muhammad Adrees

Mrs. Shala Waheed Sher

Mr. Asghar Ali (ACMA)

M/s. Yousuf Adil

Chartered Accountants

Mr. Waqar Arif

M/s. Alhamd Shariah Advisory Services (Pvt.) Limited

Meezan Bank Limited

Bank Alfalah Limited

Habib Bank Limited

Standard Chartered Bank Pakistan Limited

Al-Baraka Bank (Pakistan) Limited

Faysal Bank Limited

National Bank of Pakistan

MCB Bank Limited

MCB Islamic Bank Limited

Dubai Islamic Bank Pakistan Limited

Bank Islami Pakistan Limited

The Bank of Khyber

Askari Bank Islamic Banking

The Bank of Punjab

United Bank Limited

Soneri Bank Limited

Bank Al-Habib Limited

Habib Metropolitan Bank Limited

Allied Bank Limited

https://www.sitara.com.pk

601-602 Business Centre, Mumtaz Hassan Road, Karachi.-74000

THK Associates (Private) Limited

Plot No. 32-C, Jami Commercial Street 2, D.H.A., Phase VII, Karachi-75500

28 / 32 KM, Faisalabad - Sheikhupura Road, Faisalabad, Pakistan

Legal Advisor

Shariah Advisor

Bankers

Website of the Company

Registered Office

Share Registrar Address

FINANCIAL PERFORMANCE:

During the first half of the financial year 2025-26, the Company recorded net sales of PKR 15,685 million, compared to PKR 15,889 million in the corresponding period of the previous year, reflecting a marginal decline of 1.28%. The decrease in net sales is primarily attributable to reduced yarn sales in the textile segment due to prevailing economic conditions of textile sector in the country. Despite this decline, the Company achieved a notable improvement in profitability. Gross profit for the period under review amounted to PKR 3,026 million, compared to PKR 2,529 million in the corresponding period last year, representing an increase of PKR 497 million. The improvement in gross margin was mainly driven by a reduction in national grid electricity tariffs and a decline in international coal prices impacting reduction in captive electricity generation cost, which positively impacted overall production costs.

The increase in distribution expenses during the period under review is primarily attributable to higher average POL prices, which increased product delivery costs. Administrative expenses rose mainly due to an overall increase in salary costs and other general administrative overheads. Conversely, finance costs for the half-year declined as a result of lower average borrowing rates following the State Bank of Pakistan's monetary policy measures aimed at reducing benchmark interest rates.

The textile segment demonstrated stable operational performance. Although yarn sales volumes declined marginally but improved margins were achieved due to lower local and imported cotton procurement costs compared to the corresponding period of the previous financial year.

As a result of the above factors, the Company reported a profit after tax of PKR 725 million, compared to PKR 365 million in the corresponding period last year. This translated into an Earnings Per Share (EPS) of PKR 33.82 as against PKR 17.03 in the same period of the previous year.

FUTURE OUTLOOK:

The Company's 50 MW coal-fired power plant, which initially experienced delays due to technical and operational challenges during the start-up phase, is now in the final stages of commissioning. The remaining activities are being completed smoothly under the close supervision of a foreign technical commissioning firm. Management expects the commissioning process to be finalized in the near term.

Looking ahead, the Company anticipates a favorable business outlook, supported by reduced energy costs and a relatively

stable monetary policy stance adopted by the State Bank of Pakistan. However, ongoing geopolitical, Iran-USA conflict, may pose potential risks to global and regional economic stability, including Pakistan.

Muhammad Adrees

Chief Executive Officer

Date: February 26, 2026

Faisalabad.

Ijaz Hussain

Director

3

Sitara Chemical Industries Limited

Auditor's Review Report

&

Condensed Interim Financial Statements

For the six months period ended

December 31, 2025

32,208,043

7,686

3,414,435

20,039

473,503

125,333

36,249,039

1,794,133

4,910,821

2,354,432

862,519

82,914

2,258,433

667,611

609,269

13,540,132

49,789,171

214,294

1,706,221

14,019,253

3,579,691

19,519,459

7,792,668

3,844,232

165,299

11,802,199

4,955,758

1,260,431

10,416,058

429,065

32,953

1,373,248

18,467,513

49,789,171

ASSETS

NON - CURRENT ASSETS

Note

(Rupees in thousand)

Property, plant and equipment

5

29,901,980

Intangible assets

6,371

Investment property

6

3,418,251

Long-term investments

20,039

Long-term loans and advances

539,655

Long-term deposits

125,333

CURRENT ASSETS

34,011,629

Stores, spare parts and loose tools

1,710,214

Stock-in-trade

4,190,277

Trade debts

2,919,788

Loans and advances

956,327

Trade deposits, prepayments and other receivables

60,868

Advance income tax

2,550,093

Other financial assets

7

773,940

Cash and bank balances

334,865

13,496,372

47,508,001

EQUITY AND LIABILITIES

SHARE CAPITAL AND RESERVES

Share capital

214,294

Reserves

1,568,514

Unappropriated profit

13,404,338

Surplus on revaluation of property, plant and equipment

3,678,570

NON - CURRENT LIABILITIES

18,865,716

Long-term financing

8

8,021,931

Deferred taxation

3,770,611

Deferred liabilities

9

176,292

CURRENT LIABILITIES

11,968,834

Trade and other payables

4,463,874

Profit / financial charges payable

1,194,155

Short term borrowings

9,340,377

Provision for taxation

839,712

Unclaimed dividend

29,912

Current portion of long-term financing

805,421

CONTINGENCIES AND COMMITMENTS

10

16,673,451

47,508,001

15,685,506

(12,659,414)

3,026,092

(379,012)

(644,633)

(244,268)

(686,365)

(1,954,278)

126,587

1,198,401

(879)

1,197,522

(472,744)

724,778

33.82

7,767,566

(6,119,633)

1,647,933

(191,679)

(341,515)

(210,104)

(337,687)

(1,080,985)

56,564

623,512

1,713

625,225

(249,490)

375,735

17.53

CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

Six months period ended

Three months period ended

December 31,

December 31,

December 31,

December 31,

2025

2024

2025

2024

(....….…..……………Rupees in thousand )

724,778

364,949

15,063

1,981

6,299

(2,934)

178,688

(29,063)

164,688

5,346

889,466

370,295

375,735

209,624

15,063

1,803

20,501

(5,064)

53,403

(10,270)

58,196

17,240

433,931

226,864

Items that will not be reclassified

subsequently to profit or loss

Gain on sale of investments measured at FVTOCI

Gain/ (loss) on re-measurement of investments measured at FVTOCI

Related tax impact

Chief Financial Officer

Chief Executive Officer

CONDENSED INTERIM STATEMENT OF CHANGES IN EQUITY

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

Share Capital

Reserves

Total

Capital

Revenue

Total Reserves

Share Premium

Reserve on remeasurement of equity instruments as at FVTOCI - net of tax

Reserve on remeasurement of post retirement benefits obligation-net of tax

Surplus on revaluation of property, plant and equipment

General Reserve

Unappropriated profit

(……………………………………………………………………….. Rupees in thousand )

214,294

97,490

177,829

(8,454)

3,893,550

1,225,000

12,464,378

17,849,793

18,064,087

Total comprehensive income

Profit for the period

Other comprehensive income

Transfer to unappropriated profit on account of disposal of

financial assets carried at FVTOCI

Transfer to unappropriated profit on account of incremental

depreciation - net of tax

Transactions with owners

Final dividend for the year ended June 30, 2024 @ Rs. 10 per share

Balance as at December 31, 2024 - Un-audited

-

- -

-

-

- 364,949

364,949

364,949

-

- 5,346

-

-

- -

5,346

5,346

-

- 5,346

-

-

- 364,949

370,295

370,295

(9,575)

9,575

-

-

214,294

97,490

258,328

(12,304)

3,678,570

1,225,000

13,404,338

18,651,422

18,865,716

- - - - - - 724,778 724,778 724,778

- - 164,688 - - - - 164,688 164,688

- - 164,688 - - - 724,778 889,466 889,466 (26,981) - - - 26,981 - -

- - - - (98,879) - 98,879 - -

- - - - - - (235,723) (235,723) (235,723)

214,294 97,490 396,035 (12,304) 3,579,691 1,225,000 14,019,253 19,305,165 19,519,459

-

-

-

-

(107,490)

-

107,490

-

-

-

-

-

-

-

-

(214,294)

(214,294)

(214,294)

214,294

97,490

173,600

(8,454)

3,786,060

1,225,000

12,732,098

18,005,794

18,220,088

Transfer to unappropriated profit on account of disposal of

financial assets carried at FVTOCI

Transfer to unappropriated profit on account of incremental

depreciation - net of tax

Transactions with owners

Final dividend for the year ended June 30, 2025 @ Rs. 11 per share

Balance as at December 31, 2025 - Un-audited

Total comprehensive income

Profit for the period

Other comprehensive income

1,197,522

729,657

3,816

389

(2,003)

686,365

9,665

24,364

(23,302)

879

-(29,677)

132,550

(11,925)

1,520,778

2,718,300

(79,640)

2,638,660

(590,412)

(5,680)

(474,883)

(1,070,975)

1,567,685

(2,847,057)

4,097

(1,703)

(435,012)

747,257

-62,186

11,925

13,140

(2,445,167)

847,816

(538,929)

1,075,681

(232,682)

1,151,886

274,404

334,865

609,269

Profit before taxation

585,159

Depreciation on property, plant and equipment

751,426

Depreciation on investment property

4,769

Amortization on intangible assets

339

Gain on investments measured at FVTPL

(6,627)

Finance cost

1,142,578

Loss on disposal of property, plant and equipment

Loss on disposal of stores Provision for employee benefits

1,441

20,954

Dividend income

(47,457)

Final tax and minimum tax differential

879

Unwinding of deferred receivable

(12,649)

Amortization of deferred grant

(38,075)

Impairment loss on financial assets

50,942

Profit on bank deposits

(14,217)

1,854,303

Operating cash flows before working capital changes

2,439,462

Working capital changes

17

(145,011)

Cash generated from operations

2,294,451

Finance cost paid

(889,442)

Employee benefits paid

(8,894)

Taxes paid

(176,472)

(1,074,808)

Net cash generated from operating activities

1,219,643

CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of property, plant and equipment

including capital work in progress

(4,281,132)

Proceeds from disposal of property, plant and equipment

51,972

Purchase of intangible assets

-

Purchase of other financial assets

(1,041,839)

Proceeds from disposal of other financial assets

1,348,967

Long-term deposits paid

(158)

Long-term loans and advances given

(236,943)

Profit received on bank deposits

14,217

Dividend income received

14,999

Net cash used in investing activities

(4,129,917)

CASH FLOWS FROM FINANCING ACTIVITIES

Long-term financing obtained

2,702,143

Repayment of long-term financing

(397,160)

Short term borrowing - net

784,114

Dividend paid

(212,503)

Net cash generated from financing activities

2,876,594

Net (decrease) / increase in cash and cash equivalents

(33,680)

Cash and cash equivalents at the beginning of the period

360,476

Cash and cash equivalents at the end of the period

326,796

The annexed notes from 1 to 19 form an integral part of these condensed interim financial statements.

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

1

LEGAL STATUS AND OPERATIONS

1.1

Sitara Chemical Industries Limited ("the Company") was incorporated in Pakistan on September 08, 1981 as a public limited company under the Companies Act, 1913 (now the Companies Act, 2017). The Company is currently listed on the Pakistan Stock Exchange. The Company is a Shariah Compliant Company certified by Securities & Exchange Commission of Pakistan (SECP) under Shariah Governance Regulation 2018. The principal activities of the Company are operating Chlor alkali plant, soap noodles plant and yarn spinning unit. The registered office of the Company is situated at 601-602, Business Centre, Mumtaz Hasan Road, Karachi, in the province of Sindh and the manufacturing facilities are located at 28/32 K.M, Faisalabad - Sheikhupura Road, Faisalabad, in the province of Punjab.

The Company is currently organized into two operating divisions and these divisions are the basis on which the Company reports its primary segment information:

Principal business activities are as follows:

Chemical Division

Manufacturing of caustic soda, soap noodles and allied products

Textile Division

Manufacturing of yarn and trading of fabric

1.2

These condensed interim financial statements are presented in Pak Rupee, which is the Company's functional and presentation currency.

2

BASIS OF PREPARATION

2.1

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

'- Islamic Financial Accounting Standards (IFAS) issued by the Institute of Chartered Accountants of Pakistan (ICAP) under the Companies Act, 2017; and

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

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

2.2

These condensed interim financial statements should be read in conjunction with annual audited financial statements for the year

ended June 30, 2025. Comparative statement of financial position is extracted from annual audited financial statements for the year ended June 30, 2025, whereas comparative 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 are

extracted from un-audited condensed interim financial statements for the six months period ended December 31, 2024

2.3

These condensed interim financial statements are un-audited. However, a limited scope review has been performed by statutory

auditor of the Company in accordance with Section 237 of Companies Act, 2017 and they have issued their review report thereon.

3

SUMMARY OF MATERIAL ACCOUNTING POLICIES, ACCOUNTING ESTIMATES, JUDGMENTS AND RISK MANAGEMENT

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

There are certain amendments to the accounting and reporting standards that will be mandatory for the Company's annual accounting periods beginning on or after July 01, 2025, however, these amendments will not have any significant impact on the financial reporting of the Company and, therefore, have not been disclosed in these unconsolidated condensed interim financial statements.

4

CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS

The preparation of these condensed interim financial statements requires management to make judgements, estimates and

assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expenses. Actual results may differ from these estimates.

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

Un-audited

Audited

December 31,

June 30,

2025

2025

(Rupees in thousand)

19,529,526

19,178,515

12,476,092

10,534,361

202,425

189,104

32,208,043

29,901,980

5

PROPERTY, PLANT AND EQUIPMENT

Operating assets

Capital work-in-progress

Capital stores

5.1

5.2

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

Un-audited

Audited

December 31,

June 30,

2025

2025

(Rupees in thousand)

19,178,515

19,760,226

35,987

-

78,381

21,601

815,763

907,191

-

-

19,268

20,616

114,776

39,000

3,224

8,220

1,381

6,338

1,094,430

1,027,593

(13,762)

(88,651)

(729,657)

(1,520,653)

19,529,526

19,178,515

5.1

Operating assets

Opening written down value

Additions during the period / year:

Freehold land

Buildings on freehold land - Mill

Plant and machinery

Grid station and electric installations

Factory equipment

Electric equipment

Office equipment

Furniture and fittings

Written down value of assets disposed off during the period / year

Depreciation charged during the period / year

Written down value at the end of the period / year

5.2

Capital work-in-progress

Description

Civil works

Mechanical works

At July 01,

2025

Additions

Transfers

At December 31,

2025

----------------(Rupees in thousand)----------------

1,316,452

95,976

(169,287)

1,243,141

9,217,909

2,564,138

(549,096)

11,232,951

10,534,361

2,660,114

(718,383)

12,476,092

At July 01,

2024

Additions

Transfers

At June 30,

2025

----------------(Rupees in thousand)----------------

631,987

718,520

(34,055)

1,316,452

2,493,964

7,038,077

(314,132)

9,217,909

3,125,951

7,756,597

(348,187)

10,534,361

Civil works

Mechanical works

5.3

The Company had revalued its freehold land, building and plant & machinery at June 30, 2024. The revaluation had been carried out by

Hamid Mukhatar & Company (Private) Limited, an independent valuer not connected to the Company and is on the panel of Pakistan Banks Association as asset valuer. It is also on the panel of State Bank of Pakistan and possesses appropriate qualification and recent experience in the fair value measurements in the relevant locations. The fair value was determined using the comparable price method after performing detailed enquiries and verification from various estate agents, brokers and builders keeping in view the location of the property / project, condition, size, utilization, and other relevant factors.

Out of the total revaluation surplus of Rs. 5,118 million, Rs. 3,580 million net of tax (June 30, 2025: 3,679 million) remains undepreciated as at December 31, 2025.

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

6.1

Buildings

Opening written down value

Depreciation charged during the period / year

Written down value at the end of the period / year

503,857

163,754

359,664

414,276

667,611

773,940

503,857

359,664

465,924

303,915

37,933

55,749

7

OTHER FINANCIAL ASSETS

Investments classified as fair value through other comprehensive income (FVTOCI)

Equity investments

Investments classified as fair value through profit and loss (FVTPL)

Mutual Funds

77,463

86,339

(3,816)

(8,876)

73,647

77,463

7.1

Reconciliation between fair value and cost of investments classified at FVTOCI

Fair value of investments

- in listed equity securities

Gain on remeasurement of investments

Cost of investment

7.2

FAIR VALUE OF FINANCIAL INSTRUMENTS

The table below analyses financial instruments carried at fair value, by valuation method. The different levels have been defined as

follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2 - Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly

(i.e. as prices) or indirectly (i.e. derived from prices).

Level 3 - Inputs for the asset or liability that are not based on observable market data (i.e. unobservable inputs).

The following table presents the fair value hierarchy for financial assets which are carried at fair value:

Un-audited

Audited

December 31, 2025

June 30, 2025

Level 1

Level 2

Level 3

Level 1

Level 2

Level 3

----------------(Rupees in thousand)----------------

Equity instruments at fair value:

Investments - FVTOCI

503,857

-

-

359,664

-

-

Investments - FVTPL

163,754

-

20,039

414,276

-

20,039

Total assets at fair value

667,611

-

20,039

773,940

-

20,039

Un-audited

Audited

December 31,

June 30,

2025

2025

(Rupees in thousand)

2,300,000

2,300,000

6,865,916

6,527,352

9,165,916

8,827,352

(1,373,248)

(805,421)

7,792,668

8,021,931

8

LONG-TERM FINANCING

From banking companies, financial institutions and others - secured

Sukuks (Listed, privately placed, secured and rated)

Diminishing Musharka (from financial institutions - secured )

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

8.1

Subject to the terms and conditions disclosed in note 22 of the audited financial statements for the year ended June 30, 2025, the

Company has availed additional financing from the Bank of Punjab and Soneri Bank Limited amounting of Rs. 29.38 million and Rs.

18.44 million respectively.

Moreover, an additional facility of Rs. 800 million at the rate of 3M KIBOR plus 1% was secured from National Bank of Pakistan for utilization in permanent working capital requirement of the Company which was fully utilized during the period.

9

DEFERRED LIABILITIES

Un-audited

Audited

December 31,

June 30,

2025

2025

(Rupees in thousand)

Gratuity payable

Deferred grant

125,733

107,049

39,566

69,243

165,299

176,292

10

CONTINGENCIES AND COMMITMENTS

10.1

Contingencies

There is no significant change in status of contingencies as disclosed in the annual audited financials statements for the year ended

June 30, 2025.

10.2

Commitments

Outstanding letters of credit for raw material, spare parts, plant and machinery

Guarantees issued by banks on behalf of the Company

11

REVENUE FROM CONTRACTS WITH CUSTOMERS - NET

Local:

Chemicals

Yarn

Fabric

Waste

Others - trading

12

COST OF SALES

Raw material consumed

Fuel and power

Salaries, wages and benefits

Factory overheads

Work-in-process

Opening stock

Closing stock

Cost of goods manufactured

Finished goods

Opening stock

Closing stock

16,301,628

16,103,927

8,125,725

8,466,984

2,308,580

2,788,689

1,085,271

1,450,291

217,674

177,190

126,869

87,124

21,890

13,689

12,187

3,900

-

157,890

-

100,889

18,849,772

19,241,385

9,350,052

10,109,188

176,895

113,193

68,774

9,675

19,026,667

19,354,578

9,418,826

10,118,863

(446,671)

(449,605)

(216,737)

(225,523)

(2,894,490)

(3,016,185)

(1,434,523)

(1,611,635)

(3,341,161)

(3,465,790)

(1,651,260)

(1,837,158)

15,685,506

15,888,788

7,767,566

8,281,705

4,909,702

4,581,709

2,121,297

2,198,676

6,836,108

6,736,938

3,287,971

3,455,951

698,202

587,860

351,996

277,668

1,277,226

1,283,665

625,075

634,767

13,721,238

13,190,172

6,386,339

6,567,062

54,651

57,219

52,162

40,614

(50,782)

(42,576)

(50,782)

(42,576)

3,869

14,643

1,380

(1,962)

13,725,107

13,204,815

6,387,719

6,565,100

1,720,336

2,363,522

2,517,943

2,568,035

(2,786,029)

(2,342,182)

(2,786,029)

(2,342,182)

(1,065,693)

21,340

(268,086)

225,853

-

133,805

133,805

12,659,414

13,359,960

6,119,633

6,924,758

Un-audited

Un-audited

Six months period ended

Three months period ended

December 31

December 31

December 31

December 31

2025

2024

2025

2024

(...….…..……………Rupees in thousand )

Export:

Chemicals

Gross Sales

Less:

Commission and discount

Sales tax

13

PROVISION FOR TAXATION

Current - for the period

Deferred

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

14

TRANSACTIONS WITH RELATED PARTIES

The related parties comprise of associated undertakings, other related group companies, directors of the Company, key management personnel and post employment benefit plans. The Company in the normal course of business carries out transactions with its related parties. Details of transactions with related parties for the period are as follows:

Un-audited

Six months period ended

December 31

December 31

2025

2024

Relationship with the Company

Nature of transactions

(Rupees in thousand)

Associated undertaking

Sale of goods

993

1,539

Donation

31,604

31,689

Loan and Advances

14,837

3,173

Key management personnel

Remuneration to Executives

173,045

144,212

Payable to Provident fund - related party

Employers Contribution

5,017

3,589

Following are the related parties with whom the Company had entered into transactions or have arrangement / agreement in place:

Company name

Basis of association

Relationship with the Company

Sitara Developers (Private) Limited

Common directorship

Associated company

Aziz Fatima Trust Hospital

Common directorship

Associated undertaking

Sitara Chemical Industries Limited -

Employees Provident Fund Trust

Common directorship / trustees

Associated entity

The Company does not hold any shares in the above mentioned companies.

15

DISCLOSURE REQUIREMENT FOR COMPANIES NOT ENGAGED IN SHARIAH NON-PERMISSBILE BUSINESS ACTIVITIES

Following information has been disclosed as required under amended part I clause VII of Fourth Schedule to the Companies Act, 2017 as amended via S.R.O.1278 (I) / 2024 dated August 15, 2024:

Un-audited

Audited

December 31,

June 30,

2025

2025

STATEMENT OF FINANCIAL POSITION

Note

(Rupees in thousand)

Liabilties

Long term Financing as per Islamic mode

8

9,165,916

8,827,352

Short term borrowing as per islamic mode

10,416,058

9,340,377

Profit / Financial Charges Payables on islamic Loans

1,260,431

1,194,155

Assets

Shariah Compliant Bank Balances

546,459

278,262

Non- shriah Compliant Bank Balances

40,936

32,412

STATEMNET OF PROFIT OR LOSS

Sales - shariah compliant

Finance cost on islamic mode of financing

Finance cost paid on islamic mode of financing

Profit on Deposits

Shariah compliant bank deposits

Conventional bank deposits

Scrap Sales

Shariah compliant

Shariah non-compliant

Rental income

Shariah compliant

Shariah non-compliant

Gain on sale of investments

Shariah compliant

Shariah non-compliant

Dividend Income

Shariah compliant

Shariah non-compliant

15,685,506

686,365

590,412

11,925

-

12,224

-

29,430

-

2,003

-

23,302

-

15,888,788

1,142,578

889,442

14,217

-

14,117

-

23,269

-

6,627

-

47,457

-

13,547,910

654,201

1,328,017

2,137,596

75,456

114,653

15,685,506

729,657

1,442,670

………………………………………… Six months period ended ……………………………………………..

December 31,

December 31,

December 31,

December 31,

December 31,

December 31,

2025

2024

2025

2024

2025

2024

(------------------------------------------- Rupees in thousand )

Revenue from external customers - net

13,247,075

2,641,713

15,888,788

Depreciation on property, plant and equipment

675,942

75,484

751,426

Segment profit

612,378

87,209

699,587

Un-audited

Audited

Un-audited

Audited

Total Un-audited

Total Audited

December 31,

June 30

December 31

June 30

December 31

June 30

2025

2025

2025

2025

2025

2025

(------------------------------------------- Rupees in thousand )

3,591,228

42,511,838

25,203,497

163,316

5,009,617

730,201

3,754,544

47,521,455

25,933,698

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

16.2

Reconciliations of reportable segments are as follows:

Un-audited

Six months period ended

December 31,

December 31,

2025

2024

(Rupees in thousand)

Un-audited

Audited

December 31,

June 30,

2025

2025

(Rupees in thousand)

16.3

The Company has no reportable geographical segment.

Revenue

Total revenue for reportable segments

Profit for the period

Total profit for reportable segments

Unallocated other expenses

Profit before tax

15,685,506

15,888,788

699,587

(114,428)

585,159

1,442,670

(245,148)

1,197,522

Assets

Total assets for reportable segments

Other unallocated corporate assets

Company's assets

47,521,455

44,819,327

2,688,674

47,508,001

24,002,051

4,640,234

28,642,285

2,267,716

49,789,171

25,933,698

4,336,014

30,269,712

Liabilities

Total liabilities for reportable segments

Other unallocated corporate liabilities

Company's liabilities

NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS (UN-AUDITED)

FOR THE SIX MONTHS PERIOD ENDED DECEMBER 31, 2025

Un-audited

Six months period ended

December 31,

December 31,

2025

2024

(Rupees in thousand)

17

WORKING CAPITAL CHANGES

(Increase) / decrease in current assets

Stores, spare parts and loose tools

Stock-in-trade

Trade debts

Loans and advances

Trade deposits and short-term prepayments

18

DATE OF AUTHORIZATION FOR ISSUE

These condensed interim financial statements have been approved by the Board of Directors of the Company

and authorized for issue on February 26, 2026.

19

GENERAL

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

(286,344)

(720,544)

432,806

102,056

(22,046)

(494,072)

414,432

(79,640)

(90,206)

(539,993)

53,516

(189,803)

(38,430)

(804,916)

Increase in current liabilities

Trade and other payables

659,905

(145,011)