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Flying Cement eyes strong growth as construction activity acceleratesBreaking

June 19, 2025

Shams ul Nisa

The Flying Cement Company Limited is poised for growth as Pakistan’s economic recovery drives higher foreign investment, export expansion, and renewed construction activity, reports WealthPk.

Improving economic conditions, supported by currency stability, lower interest rates, and easing inflation, coupled with increasing construction activity, investment, exports, and remittances, are fueling continued momentum.

Moreover, a key driver of the company’s growth is the upcoming launch of its new production line, Line-II, with a capacity of 9,000 tons per day. This expansion will significantly increase production capacity, allowing the company to meet growing domestic demand and tap into export markets.

Therefore, the company remains optimistic that the added capacity, alongside a rebound in construction and infrastructure projects, will boost sales and profitability. The company also expects to benefit from government infrastructure programs and international financial support from institutions such as the IMF and World Bank, which are set to stimulate economic activity in Pakistan.

Flying Cement reported strong financial performance for the nine months ending March 2025, with gross sales more than doubling to Rs10.26 billion and profit after tax rising to Rs275 million. Despite a lower net margin of 4% due to higher power costs and inflation, earnings per share improved to Rs0.40, reflecting solid shareholder returns.

Similarly, the company’s financial position remains strong, with total assets rising to Rs27.2 billion as of March 31, 2025. The company’s equity and reserves increased to Rs8.8 billion, reflecting sound financial management and profit reinvestment.

Although Flying Cement remains optimistic about its outlook, it acknowledges challenges such as rising transportation costs and geopolitical uncertainties. However, management remains confident in overcoming these hurdles by investing in plant upgrades, enhancing operational efficiency, and strengthening workforce capabilities to sustain long-term growth.

Looking ahead, Flying Cement is positioned to benefit from Pakistan’s expected economic rebound, with rising construction activity driven by increased public and private sector investments likely to fuel cement demand. Therefore, the company is well-prepared for future growth, backed by its expanded production capacity, strong financial position, and focus on operational efficiency.

Flying Cement plans to strengthen its presence both locally and internationally, as foreign investment rises and export opportunities expand. Therefore, the company expects more substantial revenue and profitability in the coming quarters, further strengthening its role in Pakistan’s economic recovery.

Credit: INP-WealthPk