Zarea signals strong growth, expansion

KARACHI: Zarea Limited, Pakistan’s fastest-growing B2B commodities marketplace, reported strong financial performance and outlined aggressive expansion plans during its latest corporate briefing, reinforcing its investment appeal on the Pakistan Stock Exchange.

Net revenue for the nine months to March surged to Rs805 million, reflecting a 207 per cent compound annual growth rate since FY21. Net profit climbed to PKRs454 million, a 233 per cent CAGR, while return on equity stood at 22 per cent, one of the highest in the PSX technology sector.

Zarea’s stock is trading at a price-to-earnings ratio of 6.8x, an 82 per cent discount to the sector average. Shareholders’ equity rose to Rs2.06 billion, while total assets expanded to Rs2.1 billion, up from Rs629 million in FY24.

New initiatives include the launch of import and export divisions, a logistics arm and expansion into agricultural processing. Zarea is also upgrading its digital platform to enhance customer experience.

The company benchmarks itself against Indian B2B unicorns Udaan and OfBusiness, with ambitions to capture 1.0 per cent of Pakistan’s $20 billion commodities market over the next decade.