Key Takeaways
- Pakistani stock market showed modest gains on Friday.
- Investors remained cautious due to geopolitical tensions and high oil prices.
- PSO reported a 28% year-on-year decline in earnings per share.
The Pakistan Stock Exchange (PSX) eked out modest gains on Friday, with the benchmark KSE-100 index trading in both directions before closing flat.
Despite the gains, the market remained range-bound, reflecting cautious investor participation amid prevailing uncertainties.
Topline Securities Ltd reported that the market activity was lacklustre, with trading volume plunging 36.47% to 482.7 million shares and turnover value dipping 29.97% to Rs19.2 billion.
Habib Bank, United Bank, Bank Alfalah, Bank Al-Habib, and PSO collectively contributed 206 points to the index, while Meezan Bank, Fauji Fertiliser, Hub Power, Pakistan Telecommunication Company, and Cnergyico PK wiped out 152 points.
The KSE-100 index reached an intraday high of 171,160 and a low of 169,891, with Ali Najib, Deputy Head of Trading at Arif Habib Ltd, noting the market's cautious sentiment.
The International Monetary Fund (IMF) sought approximately 174 amendments to various laws to strengthen financial sector governance, ahead of the fourth review of the $7 billion Extended Fund Facility (EFF) and the third review of the $1.4 billion Resilience Support Facility (RSF), beginning on Monday.
Investor sentiment remained cautious amid geopolitical uncertainty, with Saudi Arabia, Türkiye, and Pakistan expected to hold an urgent, high-level meeting under their joint defence pact to discuss measures to support the Saudi kingdom amid attacks by Yemen’s Houthis.
Meanwhile, Pakistan's PTI decided to delay its march to Islamabad following the deployment of thousands of security personnel, road blockades, and restrictions on public gatherings.
PSO reported FY26 earnings per share of Rs32.10, down 28% year on year, primarily due to lower sales volumes, higher inventory losses, elevated petroleum prices, and a weaker contribution from the LNG segment amid geopolitical tensions.
The company also announced a final cash dividend of Rs10 per share for 4QFY26, with Cnergyico PK remaining the volume leader, with 108.2 million shares traded.
