First Imrooz Modaraba

First Imrooz Modaraba (PSX: FIMM) is a listed, multipurpose modaraba operating in Pakistan. Formed on September 27, 1993, it commenced operations on March 1, 1994. It is managed by A R Management Services (Private) Limited and is principally engaged in domestic and international trading of industrial raw materials.

Unlike modarabas that mainly provide financing services, First Imrooz focuses on supplying materials to a range of industries. Its customers and end-use markets include paints and coatings, pharmaceuticals, food, agriculture, personal care, household products and textiles. The company describes its operations as covering supply-chain activities such as importing, warehousing and supplying industrial inputs.

Important regulatory alert: The official PSX company page displays a Risk Warning Alert stating that the company is in continuous violation of specified regulatory clauses and may face suspension of trading or delisting from the Exchange. Investors should read the current PSX notice and any subsequent compliance updates before making an investment decision.

Business Overview

First Imrooz Modaraba's business is based on the sourcing and trading of industrial raw materials. Its product applications include ingredients and materials used in paints, coatings, food products, pharmaceuticals, personal-care products, detergents, textiles, agriculture and leather-related industries.

This diversified end-market exposure can create demand from several industrial sectors. However, trading businesses can also be affected by import costs, exchange-rate movements, supplier terms, inventory management, customer credit risk, working-capital requirements and changes in industrial demand. Investors should evaluate these factors through the latest audited accounts and management commentary.

Financial Performance

The following figures are reported in the company's financial statements and the PSX company summary.

Financial metric	FY2026	FY2025	FY2024
Sales	Rs. 1,054.09 million	Rs. 1,247.44 million	Rs. 1,260.14 million
Total income	Rs. 1,058.80 million	Rs. 1,268.94 million	Rs. 1,260.66 million
Profit after taxation	Refer to FY2026 audited report	Rs. 95.45 million	Rs. 72.32 million
Earnings per certificate	Refer to FY2026 audited report	Rs. 31.82	Rs. 24.11

Sales declined in FY2026 compared with FY2025. This makes it important to examine the reasons for the lower sales level, changes in gross margins, operating expenses and the effect of financing costs. The FY2025 financial statements reported profit after taxation of Rs. 95.45 million, up from Rs. 72.32 million in FY2024.

Revenue and profit should not be considered in isolation. Investors should also assess operating cash flows, receivables, inventory levels, liabilities, working-capital movements and the notes accompanying the audited financial statements. The FY2026 annual report was transmitted to PSX on October 6, 2026.

Dividend and Profit Distribution

According to the FY2026 annual report, the Board of Directors of the management company approved a final profit distribution of Rs. 10 per certificate at its meeting on September 28, 2026, for the year ended June 30, 2026. The report states that the distribution amounted to Rs. 30 million.

Investors should consult the official PSX announcement for the applicable entitlement date, book-closure details, approval status and payment arrangements. A Board-approved distribution should not automatically be described as paid or received unless a subsequent official notice confirms payment.

Shariah Compliance Status

First Imrooz Modaraba was listed as Shariah-compliant in the PSX-KMI All Share Islamic Index recomposition effective June 5, 2026, based on accounts dated December 31, 2025. The published screening table shows the modaraba's illiquid-assets-to-total-assets ratio at 60.31%; certain other ratios are marked not applicable under the methodology for Islamic financial institutions.

The company's FY2026 annual report also contains a Shariah Advisor's report concluding that, to the advisor's knowledge, the modaraba's business operations conform to Shariah requirements.

Shariah screening is periodic, and status can change following a subsequent review. PSX announced in February 2026 that the interest-bearing debt-to-total-assets threshold would be reduced from 37% to 33%, with implementation from the November 2026 recomposition based on June 2026 annual or half-yearly accounts. This revised threshold should not be assumed to have already been applied to the review based on December 2025 accounts.

Shariah compliance does not guarantee profitability, capital preservation, market liquidity or freedom from regulatory risk.

Risk Warning Alert: Read Before Investing

The official PSX company page currently displays a Risk Warning Alert stating that First Imrooz Modaraba is in continuous violation of specified clauses, 5.11.1 or 5.11.2, and carries the risk of suspension of trading or delisting.

Investors should:

• Read the current alert and the underlying PSX regulatory requirements.
• Check subsequent company announcements for any remedial action or updated status.
• Review the latest audited financial statements and quarterly accounts.
• Consider the potential effect of suspension or delisting on their ability to trade certificates.
• Avoid relying solely on historical profitability, dividend announcements or Shariah-compliance status when evaluating the investment.

The warning does not establish that suspension or delisting is certain. It is, however, a material risk that should remain prominent in any investor-facing company profile while PSX continues to display it.

Key Factors for Fundamental Analysis

Investors researching FIMM may consider the following areas:

1. Sales trends: Examine the causes of lower sales in FY2026 and whether the change reflects demand, pricing, product mix or other factors.
2. Gross and operating margins: Review the relationship between sales, cost of sales and operating expenses.
3. Working capital: Assess inventory, receivables, supplier balances and operating cash flow.
4. Financing costs: Examine financing charges and the company's need for short-term funding.
5. Profit distribution: Verify the approved distribution, entitlement conditions and payment announcements.
6. Regulatory status: Investigate the current PSX Risk Warning Alert and look for official updates.
7. Shariah screening: Confirm inclusion in the latest PSX-KMI All Share Islamic Index list.
8. Valuation and liquidity: Compare the market price with current reported earnings and financial position, while considering the risk that trading could be suspended.

These are research factors, not a recommendation to buy or sell FIMM certificates.

Frequently Asked Questions

What is the PSX symbol of First Imrooz Modaraba?

Its Pakistan Stock Exchange symbol is FIMM.

What does First Imrooz Modaraba do?

It trades industrial raw materials used in industries such as paints and coatings, pharmaceuticals, food, agriculture, personal care, household products and textiles.

Is First Imrooz Modaraba Shariah-compliant?

It was listed as compliant in the PSX-KMI All Share Islamic Index review effective June 5, 2026, based on December 31, 2025 accounts. Check the latest official review for any subsequent change.

What were its sales in FY2026?

PSX reports sales of approximately Rs. 1.054 billion and total income of approximately Rs. 1.059 billion for FY2026.

What profit distribution was approved for FY2026?

The Board approved a final distribution of Rs. 10 per certificate on September 28, 2026. Check official PSX announcements for entitlement and payment details.

Does FIMM have a PSX Risk Warning Alert?

Yes. The official PSX company page displays an alert concerning regulatory violations and possible suspension of trading or delisting. Investors should read the latest notice and subsequent disclosures.

Does Shariah compliance make FIMM risk-free?

No. Shariah screening and investment risk are different considerations. Investors must also examine the company's financial performance, valuation, liquidity and regulatory status.

Official Sources

• Pakistan Stock Exchange — First Imrooz Modaraba: https://dps.psx.com.pk/company/FIMM
• First Imrooz Modaraba — Official website: https://www.firstimrooz.com/
• Company financial statements: https://www.firstimrooz.com/financial.php
• PSX — Islamic indices and latest Shariah screening information: https://www.psx.com.pk/psx/product-and-services/indices
• PSX notice revising the KMI Shariah-screening methodology: https://dps.psx.com.pk/download/attachment/271129-1.pdf

This profile is for company research and investor education. Verify current financial figures, Shariah-screening status, profit-distribution details and regulatory notices from the original official disclosures before making an investment decision.