Panther Tyres Limited ("PTL" or "the Company") was originally incorporated as a private limited company under the Companies Act, 1913 under the name Mian Tyre and Rubber Company Limited. The Company was subsequently converted into a public limited company with effect from October 10, 2003, and was renamed Panther Tyres Limited on October 25, 2011. The Company achieved its listing on the Pakistan Stock Exchange (PSX) on February 22, 2021. Its registered office is situated at Panther House, 97-B Aziz Avenue, Gulberg 5, Canal Bank Road, Lahore-54400, Pakistan. The Company is regulated by the Securities and Exchange Commission of Pakistan (SECP) under the Companies Act, 2017, and is subject to the Listed Companies (Code of Corporate Governance) Regulations, 2019. Its financial year ends on June 30.

Panther Tyres traces its origins to 1983, representing over four decades of continuous operation in Pakistan's tyre manufacturing sector. What commenced as a modest motorcycle and rickshaw tyre manufacturer has evolved into one of Pakistan's principal tyre producers, with products now reaching markets including Turkey, Brazil, Poland, Egypt, Bangladesh, UAE, Afghanistan, and Africa.

The Company's manufacturing facility is located at 29.5 KM, Lahore-Sheikhupura Road, Sheikhupura — a strategically positioned site near Pakistan's primary industrial belt and in proximity to major raw material supply chains. The facility supports the full tyre manufacturing value chain: compounding of rubber formulations, tyre building, vulcanization, quality testing, and finished goods warehousing. Panther's product portfolio spans motorcycles, rickshaws, tractors, light commercial vehicles (LCVs), and trucks & buses, with the 2 & 3-wheeler segment representing the core revenue and volume driver. In addition to its manufacturing headquarters, the Company maintains regional sales offices in Karachi, Islamabad, Faisalabad, Multan, and Sukkur, which underpin its nationwide distribution network. The Company's installed capacity of 9.9 million units (FY25) positions it as the second-largest tyre manufacturer in Pakistan by capacity among locally rated entities, following Service Tyres (Private) Limited at 24.3 million units.

The sponsoring family owns the major shareholding of the Company. Mian Iftikhar Ahmed is the major shareholder, he possesses ~47.86% shares of the Company, his wife, Ms. Samina Iftikhar and son Mian Faisal Iftikhar hold shareholding of ~10.34% and 15.76%, respectively.

During the year ending June 30, 2021, the Company was listed on the Pakistan Stock Exchange and there has beensome change in the shareholding structure of the Company. However, the major shareholding of the Company remains with the sponsoring family.

The Iftikhar family's experience in Pakistan's tyre industry is extensive and operationally deep, spanning the full product cycle from raw material procurement to manufacturing, brand development, and domestic and export market development. Mian Iftikhar Ahmed's four-decade trajectory in the sector reflects an appreciation of industry cyclicality — the Company has navigated multiple demand downturns, currency volatility episodes, and raw material price spikes over its operational history. The recent strategic decision to accelerate ongoing capacity expansion in FY25 — at a point of macroeconomic uncertainty — reflects management's conviction in the medium-term sector recovery thesis, which has validated itself during the 9MFY26 performance. The Company's export development initiative — with presence in Turkey, Brazil, Poland, Egypt, Bangladesh, UAE, Afghanistan, and Africa — reflects commercial outreach capability beyond domestic boundaries, diversifying revenue risk meaningfully.

The sponsoring family's financial strength is demonstrated through the maintenance of a director loan of PKR 1.01 billion (June 30, 2025: PKR 1.01 billion, unchanged), reflecting willingness to extend quasi-equity support. Total equity stood at PKR 9.09 billion as at March 31, 2026, which is supported by a revaluation surplus of PKR 1.12 billion on property, plant and equipment. The Company has a total asset base of PKR 27.5 billion. Panther Tyres Limited is the only Company owned by the Iftikhar's family and there isn't any diversified investments across.

The Board of Directors of Panther Tyres Limited comprises seven members, constituted in compliance with the Listed Companies (Code of Corporate Governance) Regulations, 2019. The Board includes two Non-Executive Directors (one of whom is the Chairman, Mian Iftikhar Ahmed, and the other one is Mr. Zahid Mahmud), two Executive Directors (Mian Faisal Iftikhar as CEO and Ms. Ayesha Iftikhar), and three Independent Directors (Muhammad Junaid Ali, Muhammad Ali Durrani FCA, and Iqbal Ahmad Khan). The presence of three independent directors — representing approximately 43% of board membership — is viewed as broadly commensurate with good governance practice for an entity of this size and listing status.

The Board of Panther Tyres Limited is led by Mian Iftikhar Ahmed as Chairman, the founding patriarch of the Iftikhar family business group whose four-decade stewardship of the Company from its inception in 1983 to its current standing as a listed tyre manufacturer reflects deep sector knowledge, entrepreneurial acumen, and long-term strategic vision. Executive leadership is vested in Mian Faisal Iftikhar, Chief Executive Officer, who represents the second generation of the founding family and brings a hands-on operational and commercial orientation to the business; Ms. Ayesha Iftikhar, serving as Executive Director, further reinforces family engagement at the board level. Independent oversight is provided by three directors: Muhammad Ali Durrani FCA, a Fellow member of the Institute of Chartered Accountants of Pakistan who chairs the Audit Committee and brings considerable financial and audit expertise; Iqbal Ahmad Khan, who chairs the HR & Remuneration Committee and contributes governance experience relevant to human capital and organizational management; and Muhammad Junaid Ali, who serves on both the Audit and HR Committees, adding a further layer of independent scrutiny. The board is rounded out by Zahid Mahmud as a Non-Executive Director, who participates in both the Risk Management and Audit Committees, contributing commercial perspective to the oversight framework.

The Board has established four committees — the Audit Committee, HR & Remuneration Committee, Risk Management Committee, and Nomination Committee — which collectively provide oversight across financial reporting, human capital management, operational risk, and board succession. The Audit Committee, chaired by Muhammad Ali Durrani FCA (a Fellow member of the Institute of Chartered Accountants of Pakistan), provides credible and technically competent financial oversight. The Risk Management Committee, chaired by the CEO, is structured to embed risk awareness at the operational level. The Nomination Committee, chaired by Mian Iftikhar Ahmed, ensures board composition and succession considerations are periodically reviewed. The HR & Remuneration Committee is chaired by Mr. Iqbal Ahmed Khan.

M/s A.F. Ferguson & Co., Chartered Accountants (a member firm of the PwC network), are the external auditors for FY26 and are classified as Category ‘A’ auditors on the SBP panel. Previously, KPMG Taseer Hadi & Co., Chartered Accountants, expressed an unqualified opinion on the financial statements for the year ended June 30, 2025.

The Company operates under a functional organizational structure, with Mian Faisal Iftikhar serving as Chief Executive Officer at the apex. Key functional heads for Finance (CFO: Ghulam Abbas FCA FCMA), Company Secretariat (Mohsin Muzaffar Butt FCA CIA), and Internal Audit (Mohsin Muzaffar Butt FCA CIA) report directly to the CEO and Board, ensuring clear accountability lines. The CFO's dual professional qualification (FCA and FCMA) provides technical depth in financial management and cost accounting, which is particularly relevant for a manufacturing entity with complex raw material procurement and cost structures. The Company Secretary's CIA (Certified Internal Auditor) qualification, alongside his role as Head of Internal Audit, provides an integrated internal control function, though the separation of these roles in the medium term would strengthen the independence of the internal audit function.

Panther Tyres Limited is led by a functionally structured executive team combining deep local industry tenure with strong professional credentials. At the apex, Chief Executive Officer Mian Faisal Iftikhar steers strategic direction and plant operations, leveraging over two decades of specialized leadership experience within the local tyre and tube manufacturing sector. Corporate finance and margin management are directed by Chief Financial Officer Ghulam Abbas, whose dual qualifications as an FCA and FCMA provide the technical depth in cost accounting essential for managing the company's complex, import-reliant raw material procurement. Governance, statutory compliance, and internal risk mitigation are anchored by Mohsin Muzaffar Butt (FCA, CIA), who holds dual certifications from ICAP and the IIA (USA) while managing an integrated control framework. The core industrial operations are optimized by Muhammad Riaz, General Manager Operations, who brings more than 20 years of plant experience to drive technology upgrades and international quality certifications, while the commercial and support pillars are rounded out by Ch. Zafar Salam (National Sales Manager) leading the domestic distribution network and Abid Salar (Head of HR) overseeing human capital transformation.

The Company has implemented a structured management framework with clearly defined reporting lines, supported by a management committee comprising departmental heads and directors. Meetings are convened as required to deliberate on strategic and operational matters, while monthly performance reports are circulated among relevant management personnel to support informed decision-making. Proper documentation of meeting minutes further strengthens internal oversight and operational continuity.

Panther is currently equipped with the latest SAP solution package i.e., SAP ECC. 6.0. It was successfully implemented across the company in June-2013 by Abacus Consulting. The SAP system is a business software package designed to integrate all areas of the business.

The Company has an in-house Internal Audit function, with the department head reporting directly to the Audit Committee, ensuring independence and oversight. The corporate structure is organized into distinct departments, each operating under a well-defined internal control framework to support the achievement of strategic objectives and ensure reliable financial reporting. Customized management portals have been deployed across functions to enhance operational efficiency, while established back-up protocols and disaster recovery plans help safeguard business continuity and system resilience.

Pakistan's tyre sector is classified as a Large-Scale Manufacturing (LSM) component, generating estimated aggregate revenues of approximately PKR 149.9 billion in FY25 (FY24: PKR 141.9 billion), reflecting year-on-year growth of approximately 5.6% following a sharp contraction of 16.4% in FY23 — triggered by record-high interest rates, acute foreign exchange scarcity, and widespread automobile plant shutdowns. The sector is structurally divided into two demand channels: the Original Equipment Manufacturer (OEM) segment and the Replacement Market (RM), with the latter commanding an approximately 80% share of total consumption — a structurally defensive feature that provides meaningful revenue resilience through automobile production cycles. Total installed capacity among rated sector entities stands at approximately 39.9 million units as at FY25, against which average capacity utilization remained suppressed at approximately 64%, partly owing to competitive pressure from imported tyres displacing domestic production particularly in 4-wheeler categories. The operating environment during FY26 remained broadly supportive for the tyre industry. Relative stability in foreign exchange markets, easing inflationary pressures, and lower benchmark interest rates during most of the period collectively supported consumer demand, automobile financing, transportation activity, and overall business confidence. Within the segments directly relevant to the Company's product portfolio, the momentum has been particularly pronounced. According to the Pakistan Automotive Manufacturers Association (PAMA), motorcycle and three-wheeler sales — the single largest volume driver for domestic tyre manufacturers — grew by approximately 32% during 10MFY26, reaching approximately 1.61 million units from 1.22 million units in the corresponding period of the prior year, reflecting sustained consumer uptake of two-wheelers supported by affordable financing conditions and Pakistan's structurally growing urban mobility demand. The truck and bus segment, another category served by the Company, recorded equally notable growth, with cumulative 10MFY26 sales rising to 12,577 units from 7,146 units in the same period last year — an increase of approximately 76% — driven by improving freight economics and infrastructure-linked commercial activity. Farm tractor sales, however, posted a modest decline of approximately 6.9% to 23,116 units in 10MFY26, reflecting softness in agricultural sector activity and deferral of mechanization investment, representing a limited near-term headwind for the agricultural tyre sub-segment. The sector faces two structural cost challenges. First, raw materials — principally natural rubber, synthetic rubber, and carbon black — constitute approximately 77% of total manufacturing cost and are sourced almost entirely through imports from China, Malaysia,Thailand, Ivory Coast, and East African Countries exposing input costs directly to international commodity price movements and USD/PKR fluctuations.

Panther Tyres holds the second-largest installed tyre manufacturing capacity , with ~9.9 million units as at FY25. Within the strategically critical 2 & 3-wheeler segment, Panther competes directly with Service Tyres (Private) Limited, with both companies collectively commanding 80% of local production in this segment. The 2 & 3-wheeler category is particularly attractive for domestic producers because it has zero import penetration (local production meets 100% of supply), a highly diffused replacement demand cycle (driven by Pakistan's 1.7 million+ motorcycle production base), and relatively lower per-unit raw material exposure compared to truck and bus tyres. The Company has evolved to become one of the largest and leading suppliers and manufacturers of Tyres and Tubes in Pakistan. The Company is also honoured suppliers of Suzuki, Honda, for the past 30 years. The Company has achieved a milestone in captivating a vast extent of customers from Asian, Middle East, African & European countries. Moreover, the Company is the second only manufacturer of tractor tyres and TBB tyres in Pakistan and first only manufacturer of Off-The-Road (OTR) tyres.

Panther Tyres Limited demonstrated stable topline growth during 9MFY26, with net revenues extrapolating to a ~4.6% YoY increase, reaching PKR 25,547mln (FY25: PKR 32,567mln), driven by a combination of volumetric growth and strategic price revisions. Local sales remained the primary driver, accounting for ~87% of total revenue at PKR 22,188mln, supported by sustained unit volumes across OEM and replacement segments. Export sales stood at PKR 3,358mln. The Company continues to leverage this joint traction in unit volumes and pricing across its diversified revenue mix, while maintaining a strong presence in the 2 & 3-wheeler segment.

The Company’s profitability profile improved during 9MFY26 amid controlling  input cost pressures and better operational efficiencies. Gross margin strengthened to 15.8% during 9MFY26 (FY25: 13.1%; FY24: 14.6%), while operating margin improved to 10.3% (FY25: 7.7%; FY24: 8.5%). Net profit margin also improved notably to 3.8% (FY25: 1.3%; FY24: 1.6%), supported by higher operating profitability and lower finance costs amid declining benchmark interest rates. Net profit stood at PKR 969mln during 9MFY26 compared to PKR 432mln in FY25 and PKR 466mln in FY24.

The sustainability of Panther Tyres' business model rests on several structural pillars. The Company's focus on the 2 & 3-wheeler segment — Pakistan's single largest vehicle category at approximately 1.5–1.7 million units produced annually — provides a large and growing addressable market base that is fully served by domestic producers. Pakistan's motorcycle penetration rate remains low relative to comparable economies, suggesting a multi-year demand growth runway as urbanization, income levels, and agricultural mechanization trends continue.

The Company’s working capital cycle remained largely stable during 9MFY26, supported by prudent inventory and receivable management. Gross working capital days slightly increased to 107 days (FY25: 106 days; FY24: 107 days), while net working capital days improved to 81 days (FY25: 84 days; FY24: 87 days). The current ratio improved to 3.9x during 9MFY26 (FY25: 2.7x; FY24: 3.0x), reflecting comfortable liquidity management.

Coverage indicators improved during 9MFY26 owing to stronger operating profitability and relatively lower finance costs. EBITDA coverage improved to 3.1x during 9MFY26 (FY25: 2.3x; FY24: 2.0x). Core coverage ratio (FCFO to Finance Cost + CMLTB + Excess STB) improved to 0.7x (FY25: 1.1x; FY24: 1.1x). Finance costs declined to PKR 1,084mln during 9MFY26 compared to PKR 1,459mln in FY25 and PKR 1,488mln in FY24, reflecting the benefit of easing policy rates and improved financing efficiencies.

The Company’s leverage profile remained elevated during 9MFY26 due to increased reliance on short-term borrowings to support working capital requirements. Total borrowings increased to PKR 13,492mln as of Mar-26 (FY25: PKR 10,909mln; FY24: PKR 10,831mln), with short-term borrowings constituting ~67.9% of total debt (FY25: 59.6%; FY24: 74.5%). Consequently, leverage increased to 59.7% during 9MFY26 (FY25: 55.2%; FY24: 59.3%). Despite the leveraged capital structure, the Company continues to maintain an adequate equity base supported by retained profitability.