Karachi April 21 2025: Sazgar Engineering Works Limited has announced a significant increase in its capital expenditure, raising it by 2.5 times to PKR 11.5 billion.
The additional investment will support the expansion of its existing paint shop and the development of new facilities dedicated to the local assembly of New Energy Vehicles (NEVs).
The Board of Directors of Sazgar Engineering has approved the revision in expansion plan of the Four Wheelers Division. The revised plan includes the following (i) expansion of existing paint shop, (ii) construction of new warehousing facilities, (iii) installation of solar system of 5.7-megawatt and (iv) construction and installation of new manufacturing/ assembly facilities for the local assembly of New Energy Vehicles (NEVs) subject to the approval of relevant Government Regulatory Authorities.
The estimated cost of the revised expansion plan has been increased from PKR 4.5 billion to PKR 11.5 billion (excluding land costs), to be funded entirely through the company’s internal cash generation.
As per the updated timeline, the first rollout of CKD (Completely Knocked Down) NEVs is now expected before March 31, 2026—revised from the earlier target of December 31, 2025.
On the financial front, Sazgar’s profitability more than doubled to PKR 6.2 billion in the third quarter ended March 31, compared to PKR 3.0 billion in the same period last year. For the nine-month period from July to March, the company recorded a profit of PKR 12.8 billion, a substantial increase from PKR 4.4 billion during the same period last year.
