Javedan Corporation Limited (PSX: JVDC) was incorporated in Pakistan as a public limited company in 1961.
The company discontinued its cement business in 2010 and the company utilized its land for developing a housing scheme called “Naya Nazimabad” which includes commercial and residential sites, open plots, flat sites etc.
Pattern of Shareholding
As of June 30, 2026, JVDC has a total of 380.86 million shares outstanding which are held by 7812 shareholders. Associated companies, undertakings and related parties have the majority stake of 50.47 percent in the company followed by local general public holding 29.49 percent shares of JVDC.
Modarabas & Mutual Funds account for 1.18 percent shares of the company. The remaining shares are held by other categories of shareholders.
Historical Performance (2021-26)
JVDC’s topline which contracted until 2021 rebounded for the subsequent two years. In 2024, the topline fell again followed by a staggering rebound in 2025 and 2026. Its bottomline followed an ascending path since 2020 except for year-on-year decline in 2024 and 2025.
The company’s margins oscillated over the period under consideration. After drastically falling in 2020, the margins regained their momentum in 2021.
In 2022, all the margins slid back followed by a rise in 2023 and 2024. In 2025, margins deteriorated and then rebounded in 2026. The detailed performance review of the period under consideration is given below.
JVDC’s topline posted year-on-year decline of 36.27 percent to clock in at Rs. 1047.29 million in 2021. This was on account of no new projects launched during the year.
Cost of sales dwindled by 62.62 percent in 2021 as lesser number of plots and bungalows were sold during the year. Gross profit dipped by 16.29 percent in 2021, however, GP margin reached its highest level of 74.71 percent versus 56.88 percent in 2020. 33.19 percent lower distribution expense incurred during the year was the result of a check on sales promotion drives, events and exhibitions in 2021.
Administrative expense escalated by 9 percent in 2021 due to elevated payroll expense as number of employees grew to 207 from 171 in 2020. Furthermore, higher utility charges, fee & subscription charges, repair & maintenance and caretaking charges also drove up administrative expense in 2021. Other income posted 24.78 percent year-on-year rise in 2021 on the back of higher transfer fee from plots and bungalows, rental income and mark-up on saving accounts.
Operating profit slipped by 22.61 percent in 2021 with OP margin clocking in at 45.58 percent versus 37.54 percent in 2020. Finance cost slid by 48.34 percent in 2021 due to monetary easing. While profit before tax was down by 9.57 percent in 2021, the effect of prior and deferred taxation resulted in 77.45 percent lower tax expense in 2021.
Consequently, net profit picked up by 39.94 percent to clock in at Rs.331.24 million in 2021 with EPS of Rs.0.87 and NP margin of 31.63 percent. This was against the EPS of Rs.0.75 and NP margin of 14.4 percent recorded in 2020.
Unlike past year, where JVDC posted continuous decline in its net revenue, in 2022, JVDC’s topline built up tremendously to the tune of 378.34 percent. JVDC’s revenue was recorded at Rs.5009.54 million in 2022. During the year, the company launched a project of 1300 apartments spread over 9 towers. This was developed under corporate structure of developmental REIT named as GLOBE Residency REIT.
Cost of sales mounted by 879.30 percent in 2022. Gross profit grew by 208.71 percent in 2022, however, GP margin dropped to 48.21 percent. Distribution expense continued to slide in 2022. While exhibitions and events were done during the year, lesser sales promotion and commission pushed the distribution expense down in 2022.
Administrative expense grew by 8.84 percent in 2022 due to higher payroll expense and utility charges incurred during the year. Number of employees grew to 229 in 2022. During the year, the company took permission from Sindh Government to construct a flyover connecting Manghopir Road with North Nazimabad. This resulted in flyover cost of Rs.404.312 million in 2022.
Other income registered a staggering 101.41 percent rise in 2022 on the back of transfer fee from bungalows and plots, re-measurement gain on investment properties, mark-up on saving deposits as well as rental income. Operating profit enhanced by 282.12 percent in 2022 with OP margin clocking in at 36.42 percent.
Despite monetary tightening, JVDC was able to squeeze its finance cost by 36.82 percent. While borrowings also grew during the year, higher borrowing cost capitalized in the cost of qualifying asset, resulted in curtailed finance cost. Net profit grew by 354.40 percent to clock in at Rs.1505.145 million with EPS of Rs.3.95 and NP margin of 30 percent.
In 2023, JVDC posted another staggering topline growth of 235.90 percent. Topline clocked in at Rs.16,827.21 million in 2023. This year marked successful completion of GLOBE Residency REIT transactions. During the year, the company also launched Signature Tower project which was transferred into “Signature Residency REIT”.
Moreover, some land parcels were also successfully sold to REITs. The REIT projects not only allowed JVDC to realize gain on land but also earn dividends. Cost of sales grew by 200.42 percent in 2023, resulting in 274 percent higher gross profit and GP margin of 53.68 percent.
Distribution expense surged by 181.84 percent in 2023 due to greater sales promotion drives, events and exhibitions undertaken during the year. Flyover cost amplified by 160.15 percent in 2023. Administrative expense inched up by 5.2 percent in 2023 due to higher payroll expense, utility expense and depreciation expense incurred during the year.
JVDC chopped down its workforce to 580 in 2023. Other income grew by 24.85 percent in 2023 due to higher re-measurement gain on investment properties and higher rental income. Operating profit built up by 310.40 percent in 2023 with OP margin climbing up to 44.45 percent. Finance cost surged by 667.61 percent in 2023 due to unprecedented level of discount rate and higher borrowings. Net profit rose by 347.93 percent to clock in at Rs.6741.951 million in 2023 with EPS of Rs.17.7 and NP margin of 40 percent.
In 2024, JVDC’s topline tumbled by 74.95 percent to clock in at Rs.4214.92 million. This was due to massive decline in sale of plots and bungalows in 2024. During the year, “Peace Apartments” were launched under Naya Nazimabad Apartment REIT which was well received by the market.
During the year, UBL Bank purchased a commercial plot of 14,092 square yards for its regional office. Bank Alfalah was also in the process of acquisition of 9,465 square feet for its digital lifestyle experience branch. The completion of Naya Nazimabad Flyover, Naya Nazimabad Gymkhana and Jama Masjid also entered their final stages in 2024.
Cost of sales dipped by 78 percent, resulting in 72.25 percent thinner gross profit recorded by JVDC in 2024. However, GP margin inched up to 59.48 percent in 2024. Distribution expense shrank by 58.41 percent in 2024 due to lesser events and exhibitions organized during the year.
JVDC also cut down its sales promotion activities in 2024. Flyover cost also nosedived by 30.67 percent in 2024. Administrative expense posted an uptick of 14.30 percent in 2024 due to higher payroll expense and utility charges incurred during the year. Other income multiplied by 209.46 percent in 2024 as the company recorded a massive re-measurement gain on investment designated at FVTPL.
Operating profit slid by 68.70 percent in 2024 with OP margin picking up to 55.59 percent. Finance cost dwindled by 68 percent in 2024 due to lesser borrowings and improved liquidity position. Net profit slid by 74.73 percent to clock in at Rs.1703.627 million in 2024 with EPS of Rs.4.47 and NP margin of 40.42 percent.
In 2025, JVDC’s net sales strengthened by 74.64 percent to clock in at Rs.7361.13 million. Improvement in key economic indicators – declining inflation, discount rate, stability of Pak Rupee etc – provided impetus to real-estate demand. During the year, JVDC also launched low rise to mid-rise commercial plots named as “Naya Nazimabad Business Enclave” which received great traction.
A major boost to the company’s net sales came on the back of sale of commercial plots worth Rs.1710 million to Arif Habib Corporation Limited. Sales of 3 commercial plots of 230 square yards worth Rs. 258 million to Go Real Estate (a related party) also buttressed JVDC’s topline in 2025.
Furthermore, revenue from Naya Nazimabad Gymkhana and related fee as well as transfer fee also contributed in driving ups the revenue in 2025. Cost of sales surged by 202.71 percent in 2025. This resulted in 12.60 percent slide in gross profit in 2025 with GP margin falling down to 29.77 percent. Distribution expense mounted by 36.85 percent in 2025 due to higher exhibitions and events.
Administrative expense also surged by 17.70 percent in 2025 due to elevated payroll expense as number of employees grew from 236 in 2024 to 277 in 2025.
Moreover, depreciation expense on Jama Masjid and Naya Nazimabad Gymkhana also led to a spike in administrative expenses Other income dwindled by 24.82 percent in 2025 due to massive re-measurement loss on investments in TFCs, thinner re-measurement gain on investment properties, lower rental income and loss incurred on the modification of financial liability.
JVDC also recorded 419 percent greater allowance for ECL in 2025. Operating profit slid by 2.98 percent in 2025 with OP margin dipping to 30.88 percent. Finance cost dropped by 28.36 percent in 2025 due to lower discount rate and lesser outstanding liabilities.
Gearing ratio fell from 26.27 percent in 2024 to 23.75 percent in 2025. Net profit dwindled by 8.14 percent to clock in at Rs.1564.934 million in 2025. This translated into EPS of Rs.4.11 and NP margin of 21.26 percent in 2025.
Recent Performance (2026)
In 2026, JVDC recorded a decent 32.37 percent year-on-year growth in its net sales which clocked in at Rs.9744.02 million. This mainly came on the back of sale of commercial plots during the year. For the first time, third-party developers launched their projects in Naya Nazimabad.
The bookings of Naya Nazimabad Business Enclave launched last year also completed in 2026. Cost of sales dropped by 23.63 percent in 2026. This resulted in a tremendous 164.51 percent growth in gross profit in 2026 with GP margin climbing up to 59.48 percent – the level last seen in 2024. Distribution expense spiked by 141.71 percent in 2026 due to surge in commission expense and greater sales promotion activities undertaken during the year.
Administrative expense escalated by 19 percent in 2026 due to higher payroll expense, utility expense and legal & professional charges incurred during the year. JVDC also expanded its workforce from 277 employees in 2025 to 321 employees in 2026. Allowance booked for ECL plunged by 24.51 percent in 2026. 52.53 percent decline in other income in 2026 was the result of a massive drop in un-realized gain on long term debt instruments at FVTPL.
JVDC recorded 130.54 percent stronger operating profit in 2026 with OP margin jumping up to 53.78 percent. Finance cost dwindled by 54.94 percent in 2026 due to lower outstanding liabilities which resulted in a petite gearing ratio of 13.65 percent. JVDC posted net profit of Rs.3863.636 million in 2026. This culminated into EPS of Rs.10.14 and NP margin of 39.65 percent in 2026.
Future Outlook
The future performance of JVDC is expected to be supported by sustained sale of commercial and residential plots and the ongoing development activity within Naya Nazimabad. Another exciting development was the listing of Naya Nazimabad Apartment REIT in September 2026. This will provide JVDC another avenue to monetize its real-estate assets and accelerate project development.
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