Karachi: Maple Leaf Cement Factory Ltd (MLCF) and Pioneer Cement Ltd (PIOC) are preparing for a mixed performance in their upcoming fourth-quarter earnings results for fiscal year 2026. MLCF is expected to experience a significant decline in earnings, while PIOC anticipates robust growth.

According to JS Global, MLCF is projected to report earnings per share (EPS) of Rs2.7, reflecting a 22% decrease year-over-year. This downturn is attributed to weaker standalone earnings, dropping 75% to Rs1.2 per share. Contributing factors include reduced margins and a high comparison base due to a one-off other income in the previous year's fourth quarter, which included a substantial dividend from MLPL and fair value gains. Additionally, MLCF faces approximately Rs2.6 billion in quarterly finance costs associated with the acquisition of PIOC.

Conversely, PIOC is expected to report a strong 51% increase in earnings to Rs7.5 per share. This improvement is driven by a 7% rise in dispatches and enhanced margins, which have increased by 5.3 percentage points year-over-year. The margin improvements are attributed to higher retention prices and reduced finance costs resulting from deleveraging. PIOC is also anticipated to announce a payout of Rs5 per share alongside the results.

Both companies are expected to show quarter-over-quarter growth in earnings, with MLCF and PIOC projected to see increases of 59% and 12%, respectively, due to improving margins. JS Global reiterates a Buy recommendation for both stocks.