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Treet Corporation Limited (TCL) has upheld stable export sales despite intense global competition, reports WealthPk. The company is now targeting untapped markets to drive further growth, strengthening its global trade position through innovative strategies and market exploration. TCL reported stable export sales for 1HFY25, maintaining its position in key international markets despite intense global competition by refining its product mix and adapting to diverse customer needs.

Therefore, the company is actively pursuing new market opportunities to expand its export footprint beyond traditional regions. It is in discussions with potential partners and distributors in Southeast Asia, Africa, and the Middle East, aiming to tap into emerging demand and reduce market concentration risks. Additionally, TCL is collaborating with existing customers to refine its product offerings, ensuring they align with evolving consumer preferences.

Moreover, TCL demonstrated strong domestic growth in the first half of FY25, driven by increased sales, cost control measures, and improved production efficiency. The company achieved a significant turnaround in profit, reaching Rs647 million, recovering from a net loss of Rs206 million in the previous year. This was supported by higher operating profit, reduced finance costs, and strategic pricing adjustments.

TCL’s diverse business segments continued to contribute to its growth. The blades division remained the top revenue generator, while the batteries and pharmaceutical segments saw notable sales increases. Despite pricing challenges, the soaps and corrugation segment remained profitable. These results highlight TCL’s resilience and commitment to long-term value creation.

Furthermore, the company remains focused on expanding into high-growth markets to strengthen its global footprint while acknowledging challenges such as fluctuating demand and pricing pressures. Additionally, TCL has made notable strides in reducing its financial burden through strategic cost management. During the review period, the company cut short-term loans by Rs1.67 billion, bringing finance costs down from 19% to 12% of sales. This deleveraging effort has strengthened cash flows and enhanced financial stability.

Thus, TCL remains optimistic about its growth prospects despite challenges in domestic and international markets. With easing inflation and stable global commodity prices, the company expects a favorable business environment to support its recovery. Hence, management remains focused on innovation, market diversification, and financial discipline to drive sustainable profitability. By maintaining stable exports, enhancing efficiency, and expanding its market reach, TCL is well-positioned for long-term success in an increasingly competitive landscape .

Credit: INP-WealthPk