Lahore: Interloop Ltd (ILP) is poised for a substantial financial turnaround in the fiscal year ending 2026, with expectations of more than doubling its earnings per share (EPS) compared to the previous year. The company is set to announce an EPS of Rs8.87, driven largely by the near break-even performance of its newly established apparel plant, a marked improvement from last year's negative margins.

According to JS Global, the improved performance is also expected to result in a final dividend per share (DPS) of Rs2.00, bringing the total DPS for the year to Rs4.00. The company projects continued success in the textile export sector, with an increased share of 3.6% in Pakistan's textile exports and an anticipated turnover of approximately US$630 million for FY26.

The company's quarterly earnings are expected to remain stable at Rs2.20 per share for the fourth quarter of FY26, with a 23% quarter-on-quarter rise in sales revenue. This increase is expected to counterbalance the anticipated margin corrections due to rising input and power costs. JS Global has reiterated its 'Buy' rating for Interloop Ltd, setting a target price of Rs137, as the stock currently trades at a FY27 forecast price-to-earnings ratio of 6.4x.