TPL Properties Limited (PSX: TPLP) was incorporated in Pakistan as a private limited in 2007. In 2016, the company changed its status to public limited company.
TPLT is engaged in investing, purchasing and development of real estate including residential and commercial buildings, shops, plots, houses etc. The company also sells, rents out or dispose off the real estate.
Pattern of Shareholding
As of June 30, 2025, TPLT has a total of 561.087 million shares outstanding which are held by 7461 shareholders. Associated companies have the majority stake of 37.61 percent in the company followed by Local General Public holding 29.92 percent shares.
Sponsors, Directors, CEO and their children account for 9.48 percent of the company’s shares. Modarabas and Mutual funds own 5.46 percent shares of the company while Foreign General Public hold 4.02 percent shares. The remaining shares are held by other categories of shareholders.
Historical Performance (2019-25)
Over the period under consideration, TPLP’s topline increased only in 2019, 2020 and 2022. Its bottomline which stayed in the positive zone until 2023 posted net losses in 2024 and 2025.
The company’s margins have posted fluctuations over the period under consideration. Gross margin of the company posted its highest value in 2022. Conversely, NP margin showed its highest value in 2018 after which it kept shrinking until 2021.
The detailed performance review of the period under consideration is given below
In 2019, the topline grew by 7.96 percent year-on-year to clock in at Rs. 597.21 million. This came on the back of revision of rental and maintenance contracts with some of the tenants.
However, the occupancy ratio of the company’s rental property dropped during the second half of 2019. While gross profit ticked up by 8.31 percent in 2019, GP margin stayed almost the same as 2018.
Finance cost grew by 24.93 percent year-on-year in 2019 on the back of increased discount rate during the year. Other income which showed a stunning growth last year, shrank by 41.13 percent year-on-year in 2019 on the back of low fair value gain on investment property. TPLP’s bottomline slid by 43.44 percent year-on-year to clock in at Rs.676.26 million in 2019.
NP margin plunged to 113.24 percent in 2019 from 216.12 percent in the previous year. EPS clocked in at Rs.2.07 in 2019 versus EPS of Rs.3.65 recorded in the previous year.
While there was a drop in the occupancy ratio during the 2HFY20 due to COVID-19, renewal of rental contracts as well as growth in other sources of revenue helped TPLT attain a topline growth of 13.59 percent in 2020.
TPLP’s income was recorded at Rs.678.37 million in 2020. Direct operating cost grew by 24.46 percent year-on-year in 2020 on the back of provisioning done for GIDC. This led the GP margin plunge to 68 percent in 2020.
Finance cost grew by 44.40 percent year-on-year in 2020 as discount rate was high for the first three quarters of 2020 coupled with in an uptick in long-term financing by a holding company to finance equity investment in TPL Logistic Park (Private) Limited.
Other income didn’t provide any support either as it slid by 55.22 percent year-on-year in 2020 primarily on the back of low fair value gain on investment property and low profit on saving accounts.
TPLP’s bottomline plunged by 83.26 percent year-on-year in 2020 to clock in at Rs.113.21 million with NP margin of 16.69 percent. EPS clocked in at Rs.0.35 in 2020.
Unlike other years, in 2021, TPLP’s topline dropped by 35.38 percent year-on-year to clock in at Rs.438.39 million. This was the result of a drop in rental income as well as income from maintenance and other services. While the company also managed its direct costs accordingly, gross profit recorded a dip of 31.95 percent year-on-year in 2021.
However, there was an improvement in GP margin which clocked in at 71.62 percent in 2022. A massive increase of 324.81 percent was recorded in administrative and general expense in 2021. This came on the back of a huge rise in salaries and wages, tenant compensation, donations etc. However, this was counterbalanced was a 153.46 percent year-on-year growth in other income which was mainly driven by fair value gain on investment property.
Finance cost increased by a mere 1.48 percent in 2021 due to low discount rate. TPLP’s bottomline slid by 38.14 percent year-on-year to clock in at Rs.70.03 million in 2021. This resulted in NP margin of 15.97 percent and EPS of Rs.0.18 in 2021.
2022 appears to be the most fortunate year for TPLT as well as the entire real estate sector. During the year, the real estate prices soared by 20 percent. This was on the back of favorable initiatives by the government such as Naya Pakistan Housing Program, mandatory housing targets for banks etc.
TPLT recorded a massive 1367.16 percent gain in its topline which clocked in at Rs. 6431.89 million. This was on the back of sale of its two projects to REIT which provided overwhelming gains. Besides, there was also a fair value gain on investments.
Rental income massively dropped during the year as now the principal business of the company was to make investments. Moreover, there was no revenue from maintenance and other services. However, gain on sale and fair value gain provided growth momentum to the topline.
Direct operating cost dipped by 94.27 percent year-on-year in 2022, resulting in GP margin clocking in at 99.89 percent. While finance cost dropped by 21.35 percent year-on-year, administrative and general expenses rose significantly driven mainly by salaries and wages, legal and professional expenses as well as donations.
Other income also dipped by 68.20 percent in 2022 as fair value gain on investment property was recorded in the topline instead of other income.
The company also made a profit worth Rs. 378.20 million from discontinued operations during the year. The bottomline multiplied by 7507.24 percent in 2022 to clock in at Rs.5327.27 million. NP margin for the year was 82.83 percent while EPS stood at Rs.9.62.
In 2023, TPLP’s income deteriorated by 14.36 percent to clock in at Rs.5508.50 million. This was because the company recorded no rental income and no gain on sale of investment during the year.
Unrealized gain on investment in REIT Fund I grew during the year. Direct operating cost mounted by 497.14 percent in 2023 on the back of unrealized loss on investment in REIT Fund I. This resulted in 14.92 percent deterioration in gross profit with GP margin falling down to 99.23 percent in 2023.
Administrative & general expense surged by 62.87 percent in 2023 due to a massive spike in payroll expense and directors’ fee to inflationary pressure. This was despite the fact that the number of employees was reduced from 44 in 2022 to 21 in 2023.
Despite monetary tightening, finance cost fell by 48.95 percent in 2023 due to a considerable decline in outstanding long-term loans. Other income fell by 54.49 percent in 2023 as the company recognized no interest income on loan to subsidiary companies, recorded no reversal of expenses and dividend income during the year.
Net profit weakened by 45.40 percent to clock in at Rs.2908.84 million in 2023. This translated into EPS of Rs.5.18 and NP margin of 52.82 percent in 2023.
In 2024, TPLP recorded negative topline (loss) of Rs.2176.84 million. This was the result of unrealized loss on investment in REIT Fund I due to change in the valuation method.
The unrealized loss was due to issuance of 337.5 million units by REIT Fund I at par value against the drawdown of third tranche and the assessment of investment at closing price method after listing. Hence, investments were reclassified from level 3 to level 1 during the year.
Direct operating cost surged by 165.17 percent in 2024 due to higher salaries expense incurred during the year. This translated into gross loss of Rs.2289.80 million in 2024.
Administrative & general expense was squeezed by 34.20 percent in 2024 due to considerable decline in director fee. Finance cost escalated by 248.77 percent in 2024 due to higher discount rate as well as increased short-term borrowings obtained during the year. This resulted in gearing ratio of 11 percent in 2024 versus 8 percent in the previous year.
Finance cost was greatly offset by 215.84 percent higher other income recorded during the year which was the result of reversal of expenses accrued in prior year. TPLP posted net loss of Rs.4020.96 million in 2024 with loss per share of Rs.7.17.
In 2025, TPLP recorded income of Rs.455.17 million. Unrealized loss recorded on investment in REIT Fund I was offset by greater management fee, deferred performance fee, performance fee, advisory fee and other fee received by the company.
Direct operating cost grew by 33.84 percent in 2025 due to higher payroll expense. This translated into gross profit of Rs.303.98 million in 2025 with GP margin of 66.78 percent. Administrative and general expense ticked up by only 3.50 percent in 2025 as higher salaries expense was offset by lower legal & professional charges as well as advertising expense incurred during the year.
Finance cost also ticked down by 17.45 percent in 2025 due to settlement of outstanding liabilities during the year. Other income fell by 23.83 percent in 2025 due to lesser liabilities written back.
Other expense jumped up from Rs.2.39 million in 2024 to Rs.411.52 million in 2025 due to wadvances, prepayments and other receivables written off. TPLP posted net loss of Rs.1934.27 million in 2025 with loss per share of Rs.3.45.
Recent Performance (1QFY26)
During the first quarter of the ongoing fiscal year, TPLP posted positive topline to the tune of Rs.1954.96 million versus negative topline of Rs.480.62 million recorded in 1QFY25. This was due to unrealized loss on investment in REIT fund recorded in 1QFY25 versus unrealized profit on investment in REIT Fund during the current period.
Income from subsidiaries – TPL RMC and TPL Developments - also improved during 1QFY26. Direct operating cost was squeezed by 27.10 percent in 1QFY26 which enabled the company to record gross profit of Rs.1923.15 million versus gross loss of Rs.524.25 million posted in 1QFY25. GP margin clocked in at Rs.98.40 percent in 1QFY26.
TPLP also kept a check on its administrative and general expense which dipped by 3.60 percent in 1QFY26. Monetary easing resulted in 56.83 percent drop in finance cost in 1QFY26. Other income ticked up by only 13.87 percent in 1QFY26 as the effect of unrealized gain on investment was partially offset by lower markup income due to monetary easing.
TPLP was able to record net profit of Rs.1512.35 million in 1QFY26 with EPS of Rs.2.70 and NP margin of 77.4 percent. This was against net loss of Rs.1040.81 million and loss per share of Rs.1.85 posted in 1QFY25.
Future Outlook
The company’s current source of income is from investment held in REIT Funds. Currently, the company has majority of its funds concentrated in TPL REIT Fund I, Pakistan’s first Shariah Compliant Sustainable Development REIT Fund.
The company is seeking to increase its expertise Real Estate Developments and REITs and partner with other projects to diversify its revenue streams.
The government in incentivizing the real-estate sector by taking measures such as reduction of withholding tax on property purchase, re-introduction of tax credit for house loans and withdrawal of FED imposed in FY25. This, coupled with the improvement in macroeconomic indicators such as decline in inflation and discount rate, the construction and real-estate sectors are expected to attain new heights.
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