ISLAMABAD: Pakistan’s state-owned enterprises posted sharply higher losses in FY2025, with aggregate net losses surging by 300% year-on-year, according to a finance ministry report cited by The News on Saturday.
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Overall net losses rose to Rs123 billion in FY25, compared with Rs30.6 billion in FY24. A total of 25 SOEs together recorded losses of Rs832 billion during the fiscal year. The largest loss was reported by the National Highway Authority at Rs294.9 billion, followed by Quetta Electric Supply Company (Rs112.7 billion) and Peshawar Electric Supply Company (Rs92.7 billion). Other major loss-makers included Pakistan Railways (Rs60.3 billion) and PIA Holding Company Limited (Rs48.9 billion).
Additional losses were recorded by National Power Parks Management Company, Neelum-Jhelum Hydropower Company and Pakistan Steel Mills, among others across the power, infrastructure and services sectors.
In contrast, profit-making Pakistan’s state-owned enterprises generated an aggregate Rs709 billion in FY2025, with earnings concentrated among a handful of energy, banking and logistics entities. The top contributors were Oil and Gas Development Company Limited (Rs169.9 billion), Pakistan Petroleum Limited (Rs89.9 billion) and National Bank of Pakistan (Rs56.7 billion). Other strong performers included the Water and Power Development Authority and Pakistan National Shipping Corporation.
The report noted that a small cluster of profitable SOEs accounted for nearly 90% of total earnings, effectively offsetting persistent losses across much of the sector. Despite widening losses, the SOE balance sheet showed mixed trends: total equity rose 7% to Rs6.25 trillion, largely due to recapitalisation and power-sector injections, while liabilities declined 3% and assets remained broadly stable.
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Government fiscal support to SOEs increased 37% to Rs2.08 trillion in FY2025, including higher equity injections, loans and sovereign guarantees. Roughly 16% of federal tax revenue collected during the year was channelled back into SOEs through subsidies, grants and financing support.