Pakistan Telecommunication Company Limited, listed on the Pakistan Stock Exchange under the ticker PTC, has reported a consolidated net profit of Rs4.73 billion for the nine months ended September 30, 2026, marking a dramatic operational turnaround from the net loss of Rs11.18 billion recorded in the corresponding period of the previous year. Basic and diluted earnings per share turned positive at Rs0.93, reversing a loss per share of Rs2.19 in the nine months of calendar year 2025. For the third quarter of calendar year 2026 alone, net profit stood at Rs62.34 million compared to a loss of Rs1.28 billion in the same quarter of 2025, reflecting continued momentum through the most recent reporting period.
The primary driver of the nine-month turnaround was a 62 percent expansion in consolidated revenue, which surged to Rs304.40 billion from Rs188.32 billion in the prior year period. Despite cost of services expanding 61 percent to Rs202.49 billion in line with the revenue scale-up, gross profit reached Rs101.90 billion compared to Rs62.35 billion in the nine months of 2025, representing a 63 percent increase. Administrative and general expenses rose 55 percent to Rs38.85 billion, while selling and marketing costs grew 74 percent to Rs17.98 billion as the company invested in commercial activity alongside its expanded revenue base. However, the single most impactful line-item improvement below the gross profit level was a 97 percent reduction in expected credit loss allowances, which fell to Rs288.45 million from Rs10.97 billion in the prior year, effectively removing a major drag that had weighed heavily on the company’s operating performance in 2025. As a result, operating profit surged 181 percent to Rs44.78 billion.
Below the operating line, Pakistan Telecommunication Company absorbed higher borrowing charges as finance costs and other expenses expanded 31 percent to Rs47.35 billion from Rs36.13 billion in the nine months of 2025, reflecting the financial burden associated with the company’s debt obligations. However, the impact was partially offset by other income of Rs12.49 billion and a significant reduction in pension past service costs, which fell to Rs355.14 million from Rs5.89 billion in the prior year period. These combined factors pushed profit before tax to Rs9.57 billion, reversing a pre-tax loss of Rs14.22 billion in nine months of 2025. After absorbing a corporate tax charge of Rs4.84 billion, the company closed the nine-month period with a net profit of Rs4.73 billion, its strongest bottom-line performance in recent years.
The results reflect the structural changes taking place within Pakistan Telecommunication Company following the Islamabad High Court’s approval of the merger of Telenor Pakistan into PTML, the company’s cellular subsidiary, which has expanded the group’s revenue base considerably. The combination of strong revenue dispatches across group segments, expanding gross spreads, and sharply lower provisioning write-offs has collectively enabled a financial turnaround that positions Pakistan Telecommunication Company on a meaningfully stronger footing heading into the final quarter of calendar year 2026, with investor attention now likely to focus on whether the company can sustain profitability in the face of continued pressure from finance costs that remain elevated relative to operating income.
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