The company’s quarter’s result ignites excitement among the investors
Yesterday, Pakistan State Oil Company Limited (PSO) has ignited excitement among its investors as it announced it first quarter earnings results for the 2016-17 fiscal year. As per the reports the company announced that it has generated Rs4.3 billion profit-after-tax (PAT) and earning per share (EPS) at Rs16.1. Also, the figures indicate that the company experienced a surge in profit-after-tax by 35%.
The recent quarter results indicate that the company managed to retain its position as a market leader in the local market with the market share of 56.5%, compared to 56.9% year-over-year (YoY). To be more specific, the surge in PAT was mainly due to the growth of 17% in the sales of liquid fuels such as Black oil and White oil, over the same period last year (SPLY). Also, several reports suggest that PSO is making many efforts to work closely Ministry of Water and Power and PIA in a bid for timely realization of due payments against uninterrupted fuel supplies to offer support to airline operations and power sector.
PSO said in a statement: “The increase in PAT was due to a growth of 17pc in liquid fuel sales (White oil and Black oil) over the same period last year. There was an increase of 2.9pc in White oil sales and 31pc in Furnace oil sales. Gaseous fuels sales showed improvement with increase in sales volume of LPG by 134pc and LNG by 107pc.” Analyst Umair Naseer at Topline Securities noted that the net sales were up 4pcYoY to Rs194bn in 1QFY17 led by strong volumetric growth in its oil sales. “The strong growth in sales volume negated any negative impact arising due to lower oil prices and supported sales of the company during 1QFY17. Oil prices were down 14pcYoY in the quarter under discussion”, said the analyst.
The Board extended gratitude to the Government of Pakistan, particularly the Ministry of Petroleum and Natural Resources for its continued support which enabled the firm to achieve its business and performance objectives. Adding to that, the recent quarterly results suggest that PSO is pretty serious towards achieving its market ventures and retain its position as a market leader in the industry.