HUBCO BYD venture posts Rs33 million quarterly loss

The Hub Power Company Limited (HUBCO) has reported a Rs33 million loss from its BYD-related electric vehicle venture for the quarter ended June 2026, reversing a small profit booked in the preceding quarter, according to TechJuice.

The loss came as the power producer continues to expand in Pakistan's electric vehicle market through Mega Motor Company, a 50:50 joint venture between HUBCO and Mega Conglomerate that acts as BYD's local partner.

Despite the quarterly setback, the venture remained profitable over the wider nine-month period. PACRA figures cited by TechJuice show Mega Motor generated Rs36.9 billion in revenue and an operating profit of Rs2.1 billion in the nine months to March 2026, with a net profit of Rs384 million.

TechJuice said profitability has been weighed down by import-related levies under the current completely built-up model. The company expects the shift to local assembly to improve cost efficiency and margins.

HUBCO and BYD are investing about $150 million in an EV assembly facility at Gharo in Sindh. The plant is designed to produce around 25,000 vehicles a year initially, with capacity expandable to 50,000 units.

The facility was originally due to start operations in the first half of FY26 but missed that target. HUBCO has now indicated that commercial operations are expected to begin in the second half of 2026, according to TechJuice.

BYD Pakistan is also working on expanding its vehicle lineup, increasing localisation, developing charging infrastructure and training local technical staff. These steps are part of wider efforts to build an EV manufacturing and support ecosystem in Pakistan, the report said.

The quarterly loss was recorded while HUBCO's EV business remains in an investment and expansion phase, moving from imported BYD vehicles towards local assembly and greater localisation.