Dewan Cement Ltd (DCL) reported a deeper loss for the first half of FY2026, with after-tax losses rising to PKR610m (US$2.18m), more than double the PKR297m recorded in the same period last year. The company’s results, published on the Pakistan Stock Exchange website, show that despite operational improvements, rising costs continued to weigh on profitability.
Sales grew to PKR11.69bn, a 17.28 per cent increase driven by stronger pricing and higher demand. Local cement dispatches rose 25 per cent to 804,444t, reflecting improved market activity and effective distribution. However, production costs climbed 19.41 per cent, largely due to major plant maintenance, which pushed gross margins down 19.62 per cent YoY.
DCL also advanced its sustainability efforts by installing a solar power system aimed at reducing reliance on conventional energy, lowering electricity expenses, and supporting long-term environmental goals.
Looking ahead, inflation is expected to ease to 5–7 per cent in FY26, supported by improving macroeconomic stability, disciplined fiscal management, and a more favourable interest rate environment. As economic activity broadens, construction and infrastructure development are likely to accelerate, offering potential upside for the cement sector. Continued progress, however, will depend on policy consistency, effective risk management, and steady public-sector development spending.
