Mahmood Textile Mill

Founder : Haji Abdul Razzaq

Executive Summery
Mahmood Textile Mills Limited is one of the key players in the textiles industry of Pakistan with business operations in spinning, weaving, and garment manufacturing. The firm was founded in 1970 and has gained much recognition for its quality products and efficiency. Using its integrated production process, Mahmood Textile Mills can keep track of expenses and the quality of its products. Even though Mahmood Textile Mills faces various challenges including fluctuating cotton prices, expensive energy costs, and economic uncertainties worldwide, it still remains committed to overcoming these challenges.
Company Overview
Mahmood Textile Mills Limited is a textile manufacturing company based out of Pakistan. This is a textile manufacturing company which has been operating in the country since 1970. The company was founded by Mr. Haji Abdul Razzaq. Mahmood Textile Mills Limited manufactures its products through vertical integration in advanced manufacturing facilities. The target market of this company is from Europe, Asia, and North America.
Industry Overview
Mahmood Textile Mills Limited falls under the category of home textile manufacturing business that is a part of the Pakistan based export oriented textile industry. This industry produces diverse products that range from bed linens to towels and curtains that are meant for domestic use. Consumers are looking for top-notch quality products and this trend has provided some opportunities for producers in the industry. The availability of ample cotton and an effective labor force makes the industry in Pakistan better than its rivals. But then again, there are some challenges faced by the industry in the form of fluctuating prices of raw materials, energy costs, and tough competition.
Financial Performance
Particular | 2025 ( Rupees ) | 2024( Rupees) |
Sale | 57071382737 | 66583767005 |
COGS | (49107864833) | (56855235797) |
Gross Profit | 7963517904 | 9728531208 |
Operating Exp | (2737058823) | (2882620056) |
Operating Profit | 5226459081 | 6845911152 |
Finance Cost | (4110526444) | (5631381235) |
Other Operating Exp | (182050846) | (398045195) |
Other Income | 344651166 | 117491225 | |
Share of net profit of association | 250481333 | 437160247 | |
Profit Before Taxation and Levy | 1529014290 | 1371136194 | |
Levy | (713392284) | (895789009) | |
Profit before Taxation | 815622006 | 475347175 | |
Taxation | 162444480 | (225810594) | |
Net Profit for the year | 978066486 | 249536591 | |
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Key Financial Ratio
Particular | 2025 | 2024 |
Gross profit margin | 13.95% | 14.61% |
Operating Profit Margin | 9.16% | 10.28% |
Net Profit Margin | 1.71% | 0.37% |
Cost Of Sale Ratio | 86.05% | 85.39% |
Profit Before Tax Margin | 1.43% | 0.71% |
SWOT Analysis
Strength
Total vertical integration in spinning, weaving, and apparels.
Excellent export-oriented customers.
Weakness
Cotton and energy prices.
Sensitivity to fluctuations in the demand for products.
Opportunity
Increasing demand worldwide for environmentally friendly and high-quality textiles.
Innovation in value-added apparel and textile technology.
Threat
Intense competition from textile producers nearby.
Fluctuations in currency values and inflation rates.
Changing trade policies and tariffs.
Conclusion
By virtue of both quality production and outstanding performance, Mahmood Textile Mills Ltd. has gained itself a good reputation over the period of the past fifty years. The textile industry, which is known for its competitive nature and economic risks, presents itself as a favorable environment where Mahmood Textile Mills can continue its growth because of the integration and focus on efficiency and exports within the firm’s operations. In addition, innovation and sustainability may be key factors that will help Mahmood expand into the international field.
References
- Mahmood Textile Mill Annual Report
- Mahmood Textile Mill Official Website