Profit-taking, banking results drag PSX down

Trade on the Pakistan Stock Exchange (PSX) remained volatile on Thursday as the KSE-100 plunged nearly 2,000 points on profit-taking in the face of a futures rollover and lackluster financial results from a few banks.

In the morning, the market started on a positive note, reaching an intraday high of 166,720 in the first hour. The index remained close to this level until midday, but began to retreat later.

The stock fell sharply and after frequent ups and downs, it hit an intraday low of 164,395 just before the close. At the end of the session, the KSE-100 index fell 1,962.87 points, or 1.18%, to settle at 164,590.41.

Commenting on the market movement, Topline Securities said stock trading remained highly volatile, reflecting mixed investor sentiment, as the index fluctuated between an intraday high of 166,720 and a low of 164,395. The KSE-100 ended the session at 164,590, down 1,963 points.

He noted that the volatility was largely attributed to profit-taking ahead of the upcoming renewal week, coupled with the disappointing financial results of Bank AL Habib and Bank Alfalah.

Among the major laggards, Bank AL Habib, Habib Metropolitan Bank, Lucky Cement, Hub Power and Engro collectively eroded 1,019 points from the index. Despite the downturn, investor participation remained strong, with total trading volume rising to 1.505 million shares, Topline added.

Arif Habib Limited (AHL) commented that the selling pressure intensified on Thursday, where banks marked a marked decline. In the KSE-100, 24 stocks advanced while 74 declined with MCB Bank (+1.07%), Interloop Limited (+5.82%) and Fauji Fertilizer Company (FFC, +0.27%) the biggest contributors to the index’s gains. On the other hand, AL Habib Bank (-9.98%), Habib Metropolitan Bank (-5.89%) and Lucky Cement (-1.75%) were the biggest decliners in the index.

FFC reported 9MCY25 earnings per share (EPS) of Rs 40.50, up 14% y-o-y (y-o-y) and dividend per share of Rs 28.5. Net sales increased 18% year-over-year in 3Q 2005, primarily due to significant increases in urea and diammonium phosphate (DAP) intake, which increased 14% and 17%, respectively.

HBL announced 9MCY25 EPS of Rs 34.96, up 19% YoY and dividend per share of Rs 14. The improvement in earnings was mainly driven by stronger net interest income (NII) and higher non-financing income, AHL noted.

Faysal Bank announced 9MCY25 EPS of Rs 10.25, down 24% YoY and dividend per share of Rs 4.5. The earnings contraction came from lower net earnings (NII) and higher operating costs.

The 166k level needs to be recovered to pave the way for further advance as “KSE-100 is now trading in a congestion zone”. “Going into the last session of the week, the index is currently up 0.48%,” AHL added.

Total traded volume fell to 1.50 billion shares compared to Wednesday’s tally of 1.57 billion. The total value of shares traded stood at Rs 49.5 billion.

Shares of 474 companies were traded. Of these, 147 closed higher, 291 declined and 36 remained unchanged.

WorldCall Telecom emerged as the volume leader with 162.2 million shares traded, rising by one paisa to close at Rs 2.09 per share. It was followed by K-Electric, which saw 138.2 million shares change hands, falling 13 paisa to close at Rs6.08 and Telecard Ltd, with 90.6 million shares, up 12 paisa to close at Rs13.26. Foreign investors sold shares worth Rs 539.2 million, according to NCCPL.