First Treet Manufacturing Modaraba
By PSX Investors Zone · Updated October 23, 2026
First Treet Manufacturing Modaraba (PSX: FTMM) is a Pakistani Islamic financial institution managed by Treet Holdings Limited. Its manufacturing operations include corrugated packaging, soaps and batteries. For FY2026, net turnover increased to Rs. 4.163 billion from Rs. 3.793 billion in FY2025, while profit after taxation rose to Rs. 119.924 million and EPS reached Rs. 0.613. An interim cash dividend of Rs. 1.50 per certificate was declared during FY2026, with no additional final dividend proposed in the annual results announcement. The company was marked Shariah-compliant in the PSX-KMI All Share Islamic Index review effective 5 June 2026. However, PSX displays a Risk Warning Alert concerning regulatory violations and possible suspension or delisting. The proposed transfer of its corrugation and soap segments to Treet Packaging Limited is another important corporate development for investors to monitor.
First Treet Manufacturing Modaraba (PSX: FTMM) is a Pakistan Stock Exchange-listed Islamic financial institution managed by Treet Holdings Limited. Its manufacturing activities include corrugated packaging, soaps and batteries. The company operates within the Treet Group and has a business structure that combines the Modaraba framework with manufacturing operations.
Company Overview
First Treet Manufacturing Modaraba was formed on 27 July 2005 under Pakistan's Modaraba regulatory framework. Its registered office is located at 72-B, Industrial Area, Kot Lakhpat, Lahore.
The company's manufacturing activities include corrugated boxes and packaging, soaps, and batteries. These businesses serve different customer markets and are exposed to factors such as industrial demand, consumer spending, raw-material costs, energy prices and competition.
Official sources:
Latest Financial Results: FY2026
The following figures relate to the financial year ended 30 June 2026. Amounts are shown in Pakistani rupees, with financial statement figures converted from thousands into millions for readability.
| Financial metric | FY2026 | FY2025 |
|---|---|---|
| Net turnover | Rs. 4,162.796m | Rs. 3,793.472m |
| Gross profit | Rs. 390.87m | Rs. 343.92m |
| Operating profit | Rs. 155.947m | Rs. 159.222m |
| Profit after taxation | Rs. 119.924m | Rs. 117.463m |
| Earnings per certificate | Rs. 0.613 | Rs. 0.135 |
Source: FY2026 results and annual-report announcement available through the official PSX FTMM page. Comparative figures and EPS should be checked against the complete published annual report before republication.
What the numbers indicate
Net turnover increased by approximately 9.7% year-on-year. Gross profit also improved, while operating profit declined slightly. Profit after taxation increased by approximately 2.1%.
This pattern suggests that higher turnover did not translate into an equivalent increase in operating profit. Investors should examine administrative expenses, finance costs, other income, taxes and segment-level results to understand the reasons behind the difference.
The annual figures are historical results, not an indication of future profitability.
EPS and Earnings Quality
FY2026 earnings per certificate were reported at Rs. 0.613, compared with Rs. 0.135 in FY2025 in the annual-results filing. EPS should be considered alongside the company's profit, cash flow, capital structure and any planned restructuring.
Investors should also distinguish the annual EPS from the latest quarterly EPS. Quarterly earnings can fluctuate due to production schedules, sales mix, costs and seasonal demand.
Official source: PSX financial information and announcements.
Dividend History and Payouts
During FY2026, the board announced an interim cash dividend of Rs. 1.50 per certificate, equivalent to 15% of the stated face value under the company's dividend announcement.
The annual-results announcement for the year ended 30 June 2026 stated that no additional final cash dividend, bonus certificates or right certificates were declared in that filing.
| Dividend item | Status |
|---|---|
| Interim cash dividend during FY2026 | Rs. 1.50 per certificate declared |
| Additional final dividend for FY2026 | None proposed in the annual results announcement |
| Bonus certificates in the FY2026 results announcement | Nil |
| Right certificates in the FY2026 results announcement | Nil |
A declaration is not the same as confirmation of payment. Investors should consult the official payout record and entitlement notices to verify payment status and dates.
Sources:
Share Price History and Valuation
PSX's company-page snapshot dated 11 September 2026 reported the following market information:
| Market metric | Reported value |
|---|---|
| Share price | Rs. 18.72 |
| 52-week range | Rs. 11.14–23.75 |
| One-year price change | -1.00% |
| Year-to-date price change | -7.05% |
| Trailing P/E ratio | 145.12 |
| Reported market capitalisation | Approximately Rs. 3.662bn |
These are dated figures, not live quotes. The PSX All Share market page subsequently displayed FTMM at Rs. 19.06 in its retrieved market snapshot. Check the official company page for the latest available quote before publishing a current-price figure.
Source: PSX FTMM market quote and history.
How to interpret valuation
The PSX-reported trailing P/E of 145.12 in the 11 September snapshot was based on unconsolidated financials. Because EPS and price may be affected by reporting periods and certificate-related accounting, the ratio should not be compared mechanically with another company's P/E.
For a useful valuation analysis, calculate or verify:
- Trailing P/E: Market price divided by trailing 12-month EPS, using consistent data.
- Dividend yield: Annualised cash dividends per certificate divided by the market price. Use the relevant dividend period and clearly label whether the yield is historical or forward-looking.
- Price-to-book ratio: Market price relative to book value per certificate, where the underlying equity and certificate count are verified.
- Price history: Compare one-year and longer-term movements with relevant market and sector benchmarks, while identifying the measurement date.
A high P/E based on a low earnings base may be volatile and should not be treated as evidence of future growth. A historical dividend also does not guarantee another distribution.
Shariah Compliance Status
First Treet Manufacturing Modaraba was marked Compliant in the PSX-KMI All Share Islamic Index recomposition announced on 29 May 2026 and effective 5 June 2026. The review was based on accounts dated 31 December 2025.
The official screening notice reported:
| Screening metric | Reported value |
|---|---|
| Final Shariah status | Compliant |
| Illiquid assets ratio | 22.72% |
| Net liquid assets ratio | Rs. 9.63 |
| Share price used for screening | Rs. 20.14 as at 31 December 2025 |
For Modarabas and other Islamic financial institutions, some conventional screening ratios are reported as not applicable under the applicable methodology. The ratios above relate to the stated screening date and should not be presented as current-period financial ratios.
The company's FY2025 Shariah Advisor's Report also noted that loans had been extended to parent and associated companies and recommended careful consideration of the arrangements and the use of appropriate Shariah-compliant financing structures. The report's overall conclusion was that the Modaraba's business transactions and operations complied with the applicable Shariah requirements, subject to the matters discussed in the report.
Investors should verify the latest index review and Shariah disclosures before relying on the status.
Sources:
- PSX-KMI All Share Islamic Index recomposition — May 2026
- FY2025 annual report and Shariah Advisor's Report
- PSX Shariah-compliant investment resources
PSX Risk Warning Alert
PSX displays a Risk Warning Alert for FTMM. The exchange states that the company is in continuous violation of specified clauses of PSX regulations and carries a risk of suspension of trading or delisting, subject to the exchange's terms and conditions.
This warning is a material listing-related risk. Shariah screening and regulatory listing compliance are separate matters: a company may pass a Shariah screening review while still having a regulatory warning.
Investors should review the current PSX company page and subsequent notices to determine whether the warning remains in effect and whether any compliance steps have been announced.
Official source: PSX — First Treet Manufacturing Modaraba.
Proposed Restructuring: Treet Packaging Limited
In September 2026, FTMM disclosed that the Securities and Exchange Commission of Pakistan had issued a no-objection certificate for a proposed merger arrangement involving Treet Packaging Limited.
The proposal includes transferring the assets and liabilities of the corrugation and soap segments to Treet Packaging Limited through a proposed 1:1 share-swap arrangement, subject to the relevant member and court approvals and completion of the required legal process.
This is a material corporate development because it may change the composition of FTMM's remaining business and the way certificate holders obtain exposure to the relevant operating segments. The eventual effect depends on the final approved scheme, implementation date, valuation terms and any subsequent disclosures.
Do not assume the restructuring is complete until the required approvals and implementation are confirmed through official announcements.
Sources:
Key Risks for Investors
Regulatory and listing risk: The PSX Risk Warning Alert refers to continuing violations and possible suspension or delisting.
Restructuring risk: The proposed transfer of the corrugation and soap businesses could change the company's future revenue mix and operating profile. Approval and implementation remain important milestones to monitor.
Operating-margin risk: FY2026 turnover increased, but operating profit was slightly lower than FY2025. Future performance depends on cost control, product mix and demand.
Raw-material and energy costs: Packaging, soap and battery manufacturing may be affected by commodity prices, utilities, logistics and currency movements.
Related-party financing risk: The FY2025 Shariah Advisor's Report highlighted loans to parent and associated companies and recommended careful consideration of their structure under Shariah principles.
Dividend uncertainty: The FY2026 interim dividend does not guarantee future distributions. Future payouts depend on profitability, liquidity, capital needs and board decisions.
Price and liquidity risk: The certificate price can fluctuate, and the available market snapshot does not guarantee that investors can buy or sell at the displayed price.
What Investors Should Monitor
Before evaluating FTMM, review:
- Latest annual and quarterly financial statements.
- Revenue, gross margin, operating profit, EPS and cash flow trends.
- Official dividend declarations and payout records.
- The latest share price, trading volume and valuation ratios.
- Progress on the proposed Treet Packaging Limited arrangement.
- The PSX Risk Warning Alert and any subsequent regulatory notices.
- Current Shariah-screening status and the latest Shariah Advisor's Report.
Frequently Asked Questions
Is First Treet Manufacturing Modaraba Shariah-compliant?
It was marked compliant in the PSX-KMI All Share Islamic Index review effective 5 June 2026, based on accounts dated 31 December 2025. Investors should check the latest official screening notice.
What is the PSX symbol for First Treet Manufacturing Modaraba?
Its PSX symbol is FTMM.
What were FTMM's FY2026 earnings?
For the year ended 30 June 2026, reported profit after taxation was Rs. 119.924 million and EPS was Rs. 0.613 per certificate.
Did FTMM pay a dividend in FY2026?
The company declared an interim cash dividend of Rs. 1.50 per certificate during FY2026. The year-end results announcement stated that no additional final dividend was proposed. Check the official payout record for payment confirmation.
Does FTMM have a PSX Risk Warning Alert?
Yes. PSX displays a warning concerning continuing regulatory violations and possible suspension or delisting. Check the exchange page for the current status.
What is the proposed Treet Packaging Limited arrangement?
The disclosed proposal involves transferring the corrugation and soap segments to Treet Packaging Limited under a scheme of arrangement, with a proposed 1:1 share swap, subject to required approvals and implementation.
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- Browse Company Profiles
- Check Shariah-Eligible Stocks
- Read Daily Market Updates
- First Punjab Modaraba — related Modaraba profile
- First Paramount Modaraba — related Modaraba profile
Official Sources
This profile is for educational purposes and is not a recommendation to buy or sell any security.