TRG Pakistan’s turnaround: how AI, global clients & smart moves led to a big profit?

TRG Pakistan Limited (TRG) , a name familiar to many in the tech-investing circle, has made an impressive comeback this year.

What does TRG Pakistan do?

TRG isn’t a company that builds a product or sells a service directly. Instead, it manages investments in businesses, mainly in the outsourcing and tech space.

It holds its key assets through a company called TRG International (TRGIL), which in turn owns:

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• 13% of Afiniti, a tech company using AI to improve customer service centers.
• 13% of IBEX, a global outsourcing firm that helps big companies manage customer support. IBEX is listed on the NASDAQ (a major stock exchange in the US).

What happened in 9MFY25?

This 9-month period has been a big improvement for TRG compared to last year.

🟢 The Good:

• IBEX is doing great – It earned $540 million in the most recent quarter, up 11% from last year, and its share price rose 75% in the last 12 months, crossing $30.
• Afiniti made a smart move; It cut its debt in half by turning some of it into shares. This makes the company healthier financially.
• TRG’s share of profits from these companies came in at PKR 5.3 billion, a massive turnaround from a loss of PKR 19.4 billion last year.
• As a result, TRG recorded a net profit of PKR 4 billion. Just a year ago, they had a loss of PKR 16 billion. Big difference!
• Earnings per share (EPS) rose to PKR 7.36, up from a negative PKR 30.67.

🔴 The Challenges:

• TRG’s own operations still saw some losses. It had PKR 454 million in operating losses, mostly from rising admin and other costs.
• But these losses don’t reflect cash going out, they’re more like paper losses tied to asset value changes.

What’s next for TRG?

TRG isn’t stopping at call centers. It’s investing heavily in Artificial Intelligence, including both:

• Predictive AI, to forecast outcomes, and
• Generative AI, like the tech behind tools such as ChatGPT.

These investments are being made through both Afiniti and IBEX. As the world moves further into automation and AI, this positions TRG at the front line of innovation.

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Why it matters?

• For investors: TRG’s shift from a huge loss to a solid profit shows it’s back on track.
• For the tech world: Their focus on AI is aligned with global trends.
• For Pakistan: TRG’s success story highlights how local companies can compete, and even thrive, on a global stage.

TRG has had its fair share of ups and downs, but with strong international partnerships, improving financials, and a firm focus on AI-driven growth, it might just be one of the more exciting tech plays out of Pakistan right now.

⚠️ This post reflects the author’s personal opinion and is for informational purposes only. It does not constitute financial advice. Investing involves risk and should be done independently. Read full disclaimer →