Pak Leather Crafts Limited (Pak Leather), a leading manufacturer and exporter of leather goods, announced plans to rent out its factory premises to generate extra revenue. The company shared the update in a notice to the Pakistan Stock Exchange (PSX) on Thursday.
According to the notice, Pak Leather has entered into an agreement with a third party to lease its factory building on a monthly rental basis. The company stated that the move will provide an additional income stream alongside its existing business operations.
Established in 1971, Pak Leather specializes in leather tanning, the manufacturing of leather garments, and the export of leather products and garments. Over the decades, the company has built a strong presence in both local and international markets.
The decision to rent out the factory reflects the company’s strategy to optimize its assets and improve overall financial performance. By leveraging its property, Pak Leather aims to diversify income sources while continuing its core manufacturing and export activities.
The additional revenue from the rented premises is expected to support the company’s operational costs and investments in growth initiatives. Management emphasized that the decision would not affect ongoing production and business operations.
Industry analysts note that this move could provide Pak Leather with a steady and predictable income, helping the company navigate market fluctuations in the leather sector. Renting out underutilized factory space has become a common strategy among manufacturing firms to boost revenue without significant additional investment.
The company continues to focus on maintaining high standards in leather quality, garment manufacturing, and timely exports to international buyers. The additional rental income is expected to strengthen the company’s financial position and provide flexibility for future expansion.
In other related news also read Pakistan’s Exports Decline 3.88 Percent Despite Textile Sector Growth
Overall, Pak Leather’s decision to rent out its factory premises highlights the company’s proactive approach to asset management and revenue diversification in a competitive industry. The move is seen as a positive step towards sustainable business growth.
