PakStox Outlook

FFC aims to become fully Shariah-compliant by end-2025; 30% of Askari Bank branches to shift to Islamic banking by year-end, full conversion by 2027. Urea inventory is expected to stay around 1.3mn tons by Dec-2025. No ongoing discussions with the government on urea exports. PIA acquisition is under due diligence; no funding decisions confirmed yet. In 2Q2025, FFC earned Rs9bn from energy, Rs7bn from PMP, and the rest as interest income. No urea discounts in 1Q2025; only nominal ones in 2Q2025. As of Jun-2025, FFC held 338k tons Urea, 134k tons DAP vs industry’s 1,310k tons Urea and 336k tons DAP. Market share declined: Urea (52% → 48%), DAP (71% → 64%) in 1H2025. Phosphoric acid priced at US$1,250/ton. https://dps.psx.com.pk/download/document/257389.pdf

Engro Polymer - Analysts Briefing In the first half of 2025, Engro Polymer (EPCL) posted a loss of PKR 3.2 billion due to squeezed Ethylene-to-PVC margins, high gas prices, and plant maintenance costs, despite a 9% revenue increase driven by higher PVC, caustic soda, and hydrogen peroxide sales. PVC volumes rose 21% year-over-year to 115,000 tons, while global PVC prices remained weak at USD 730/ton amid oversupply and soft construction demand. Ethylene prices softened to USD 850/ton by June, compressing margins to USD 275/ton, and caustic soda profitability was also impacted by elevated energy costs. The company anticipates improved PVC demand ahead, supported by construction recovery and falling interest rates, although prices are expected to remain subdued through late 2025. Energy sourcing remains a major challenge, prompting exploration of third-party gas and alternative power options. Net Loss:  Company reported a loss of PKR 3.2 billion (Loss Per Share: PKR 3.55) in H1 2025 ...