National Real Estate News

Islamabad | ReNews Pakistan

Fauji Cement Company Limited (PSX: FCCL) has reported a significant disruption to its export operations following the closure of the Pakistan-Afghanistan border although stronger domestic sales and improved operating margins helped the company achieve a 51% year-on-year increase in quarterly profit.

The cement manufacturer announced its financial results for the first quarter of fiscal year 2026 27, covering the three months ended September 30, 2026. According to its financial statement submitted to the Pakistan Stock Exchange (PSX), Fauji Cement recorded a net profit of Rs 4.96 billion, compared with Rs 3.29 billion during the corresponding period of the previous financial year.

The company's earnings per share (EPS) increased to Rs 2.02 from Rs 1.34 in the same quarter last year. However, according to market analysis, the company's net profit declined by approximately 8% compared with the preceding quarter. Net revenue increased by approximately 11% year-on-year to Rs 26.05 billion, compared with Rs 23.42 billion in the corresponding quarter of FY2025 26. The improvement was supported by a 12% increase in domestic cement dispatches, reflecting stronger sales in the local market.

Nevertheless, overall cement dispatches increased by only 5% year-on-year, primarily because exports were disrupted following the closure of the Afghan border. Afghanistan has traditionally been an important export destination for Pakistan's cement industry, and restrictions on cross-border trade have created challenges for manufacturers relying on regional markets. Despite these difficulties, Fauji Cement maintained stronger profitability through improved domestic sales, higher cement retention prices and cost optimisation measures.

The company's gross profit increased to Rs 9.36 billion from Rs 7.38 billion in the corresponding period last year. Its gross profit margin also improved to approximately 36%, compared with 32% in the previous year. The improvement was supported by higher cement prices, better retention rates and operational efficiency initiatives. These included benefits from the government's incremental electricity consumption package and the company's in-house production of polypropylene (PP) bags, which helped reduce packaging related costs.

However, rising petroleum prices increased transportation expenses, placing additional pressure on the company's distribution operations.

Selling and distribution expenses increased by approximately 17% year-on-year, mainly due to higher fuel and logistics costs. Meanwhile, the company's finance costs declined by approximately 37% year on year to Rs 714 million, while net finance costs fell by around 39%. According to market analysis, the company made early debt repayments during the quarter, contributing to a reduction of approximately 10% in long-term borrowings and 92% in short term borrowings compared with the preceding quarter.

The effective tax rate stood at approximately 38%, compared with 37.9% in the corresponding period last year and 22.8% in the previous quarter. Fauji Cement's latest financial performance indicates that stronger domestic demand, improved selling prices and cost-control measures helped offset the impact of disrupted exports. However, the resumption of normal trade through the Pakistan-Afghanistan border will remain important for the company's future export volumes and regional market access. The company did not announce any cash dividend, bonus shares or rights issue for the quarter.

Islamabad | ReNews Pakistan

Qatar's prominent hospitality company, Retaj Group, has expressed interest in exploring investment opportunities in Pakistan's hotel and tourism industries, including possible joint ventures with local business partners and the expansion of its hospitality brands into the country.

The development emerged during Federal Minister for Commerce Jam Kamal Khan's visit to Doha, where he held a series of high-level meetings with Qatari officials, investors and business representatives on October 25 and 26 on the sidelines of the World Investment Forum 2026.

According to Pakistan's Ministry of Commerce, Jam Kamal Khan met representatives of Retaj Group to discuss potential cooperation in hospitality development, tourism investment and commercial partnerships.

During the meeting, Retaj Group expressed interest in examining opportunities to expand its hospitality brands into Pakistan and other Islamic countries through partnerships with local businesses.Both sides recognised that cooperation in the hospitality and tourism sectors could encourage private investment, create new business opportunities and strengthen economic relations between Pakistan and Qatar.The commerce minister also met the Chairman of Qatar Chamber of Commerce and Industries to discuss expanding bilateral trade, investment and private-sector cooperation.

Jam Kamal Khan encouraged Qatari businesses to increase business to business engagement with Pakistani companies and strengthen commercial links between the two countries.He invited Qatari investors to explore opportunities in Pakistan's Special Economic Zones (SEZs), particularly in Karachi's industrial areas, where export oriented manufacturing and industrial partnerships could provide access to domestic and international markets.The minister highlighted Pakistan's strategic geographical location and its potential to serve as a commercial gateway to wider regional markets, including Africa, through improved trade connectivity and supply-chain networks.

The Qatar Chamber chairman discussed changing global supply-chain dynamics and expressed interest in proposed regional transit routes and connectivity initiatives.Both sides acknowledged that improved logistics infrastructure, diversified supply chains and stronger regional transport networks could facilitate trade, reduce commercial barriers and open new markets for businesses in Pakistan and Qatar. During separate engagements, Jam Kamal Khan met Qatar's Minister of Municipality to discuss agricultural cooperation, food security and opportunities to strengthen food supply chains.

He also held discussions with the Secretary General of the D 8 Organisation for Economic Cooperation, focusing on implementation of the group's Preferential Trade Agreement and expanding trade among member countries.Pakistan and Qatar also reviewed bilateral trade and investment cooperation during a meeting of their joint working group, including developments in negotiations over the proposed free trade agreement between Pakistan and the Gulf Cooperation Council.

The discussions in Doha reflected Pakistan's efforts to attract foreign investment across several sectors, including industrial development, logistics, agriculture, tourism and hospitality.

Retaj Group's potential entry into Pakistan could create opportunities for the country's hotel industry, commercial real estate market and tourism infrastructure.

International hospitality investment may also support new construction activity, commercial property development and the expansion of tourism related services.

However, no specific hotel project, investment amount, location or implementation schedule has been announced by Retaj Group.

The company has so far expressed interest in exploring potential partnerships and investment opportunities, with further discussions required before any formal investment agreement or project launch can be confirmed.

Lahore | ReNews Pakistan

Pakistan has expanded the testing of a satellite based irrigation decision-support system to the canal network serving approximately 13.3 million kanals of agricultural land in Punjab, aiming to improve the efficiency and fairness of irrigation water distribution.

The initiative seeks to align water allocations more closely with actual crop requirements while improving the management of available water resources through satellite monitoring and mathematical optimisation.

The completion of the third phase of the three year project, supported by the Asian Development Bank (ADB), was announced during a workshop at the Lahore University of Management Sciences (LUMS).

The project has been developed through collaboration between LUMS, the Punjab Irrigation Department and the Food and Agriculture Organization (FAO) of the United Nations.

At the centre of the initiative is the Rotation Advisory Module (RAM), an advanced decision support tool that combines satellite derived information with mathematical optimisation to recommend irrigation water allocations.

The system was initially piloted on selected canals in the Balloki Okara division before being extended to all rotation channels of the Lower Bari Doab Canal (LBDC) network.

The LBDC system serves approximately 675,000 hectares, equivalent to 13.3 million kanals, of agricultural land in Punjab.

The technology uses satellite-based estimates of Relative Water Deficit (RWD) to assess the extent to which crops may be experiencing water shortages.

Based on this information, the mathematical model recommends water allocations for upcoming irrigation rotations while considering existing distribution priorities and operational constraints.

Addressing the workshop, ADB Water Management Consultant Dr. S. A. Prathapar said modernising irrigation systems required more than constructing new canals or upgrading physical infrastructure.

He emphasised the need to modernise the operational rules governing how irrigation water is distributed among agricultural users.

Dr. Prathapar explained that conventional irrigation performance indicators could determine whether authorities had delivered the planned quantity of water but could not necessarily establish whether crops had received sufficient water to meet their actual requirements.

Satellite-based water deficit estimates could help address this limitation by providing more accurate information for future irrigation allocation decisions.

Dr. Abubakr Muhammad of LUMS highlighted the importance of Pakistan's irrigation network for national food security and rural livelihoods.

He said climate change, uncertainty over water availability and rising agricultural production costs, particularly energy expenses, were placing increasing pressure on the country's irrigation system.

According to Dr. Muhammad, advances in satellite remote sensing, near real time monitoring and intelligent decision support systems could enable irrigation managers to make more informed decisions based on water shortages at field and canal levels.He also stressed that technological improvements must account for social considerations, water governance and fairness in distribution.

ADB Principal Water Resource Specialist Ryutaro Takaku Bessho reaffirmed the bank's continued engagement in Pakistan's agriculture and water sectors, particularly in addressing climate vulnerability, improving food security and strengthening rural resilience.

Technical sessions at the workshop examined satellite based crop water requirement estimates, the functioning of the Rotation Advisory Module and its potential integration with the Punjab Irrigation Department's Irrigation Decision Support System.

Representatives from the Punjab Irrigation and Agriculture Departments, WAPDA, the Ministry of Water Resources, SUPARCO and the Pakistan Agricultural Research Council attended the workshop.

Participants also discussed further system validation, institutional arrangements, farmer engagement and the possible integration of rainfall forecasts into future irrigation recommendations.

However, the technology remains a decision support and testing initiative. Its extension across the LBDC network does not mean that irrigation water distribution has become fully automated or that the system has been permanently adopted throughout the area.Further operational validation and institutional arrangements will be required before wider implementation.