PakStox Outlook

OGDC carries a high weight in PSX indices and  pays consistent quarterly dividends. That is reflected in its price stability. Recent profitability was primarily driven by higher international oil prices and a substantial depreciation of the Pakistani Rupee. The company has substantial other income linked to interest rates. However, as interest rates decline, this income has decreased, negatively impacting earnings. Given OGDC's minimal finance costs, it does not benefit from lower interest rates.

Oil & Gas Development Company Limited | Financial Results – Q2 Dec 2024 OGDC reported a profit of Rs. 9.6 per share for the quarter ending December 2024 and announced a cash dividend of Rs. 4.05 per share. This brings OGDC's net income for the last four quarters stands at Rs. 39.1 per share, while the total cash dividend distributed during this period amounts to Rs. 13.1 per share.

OGDC remains under state control. The Government of Pakistan holds around 75% of its shares. For the latest quarter ending Sep2024, OGDC owns a 20% stake in Mari Petroleum (PSX:MARI). It is holding 42% of Pakistan's oil reserves and 36% of its gas reserves. OGDC posted a profit of Rs. 9.5 per share and paid a cash dividend of Rs. 3 per share. In the last four quarters, OGDC earned a net income of Rs. 46.7 per share. While in the last 4 quarters, total cash distribution was Rs. 11.5 per share. PAT for the trailing twelve months decreased by 4% compared to the prior quarter. Over the past 3 months, OGDC has gained 33% compared to a gain of 34% of the KSE100 Index. Over the past 1 year, OGDC has gained 79% compared to a gain of 81% of the KSE100 Index. OGDC has made no change in its capital in the last one year. Exposure in PSX Indices: KSE100: High KSE30: High KMI30: High OGDC is trading at a market price of Rs. 222.5.Its Price Earning Ratio is 5. Its dividend yield is 5.2%. The aver...

PPL | Pakistan Petroleum. The Chairman laments in the annual report that ..."lower offtakes from Sui Northern Gas Pipelines Limited (SNGPL), due to more than required volumes of Liquefied Natural Gas (LNG) in the system, negatively impacted net production by around 20 MMscfd." See PPL Annual Report . For excerpts from the report see this note. OGDC |  OGDCL’s average daily net saleable crude oil, gas and LPG production clocked in at 33,117 barrels, 717 MMcf and 717 tons in comparison to 32,478 barrels, 764 MMcf and 720 Tons in the preceding year. See Annual Report . See Excerpts.  In 2024, OGDC's finance and other income dropped to PKR 41 billion from PKR 154.billion in 2023, comprising 14% of PBT compared to 40.32% last year. The 2023 figure was elevated by one-off gains from a finance lease modification and exchange rate movements. If the Pakistani Rupee strengthens in the future, it could negatively impact OGDC's income further. GGGL | Ghani Global Glass Ltd. To ...

OGC reported mixed results for Q3 2024. Earnings per share (EPS) came in at Rs. 11.1, accompanied by a cash dividend of Rs. 2 per share. Although net income declined year-over-year and compared to the previous quarter, revenue saw a modest year-over-year increase. Notably, gross profit margin improved to 64%, exceeding the average of the past four quarters. This positive trend was partially offset by a rise in financial charges and a higher tax rate compared to the historical average. Despite the decline in net income, OGDC maintains a strong position within key Pakistani stock indices and holds significant reserves of the country's oil and gas resources.  See OGDC SnapShot

OGDC is trading at a market price of Rs. 134.2, with a low price-earnings ratio of 2.4 and a very low price-to-book ratio of 0.5. In the last 52 weeks, the OGDC stock reached a high of Rs. 158.59 and touched a low of Rs. 73.1. OGDC has paid a total of Rs. 8.85 as cash dividends in the last four quarters. Over the past 6 months, the stock of OGDC has gained by 32%, compared to the 56% return of the KSE100 Index. And, over the course of the last year, the stock of OGDC has gained by 56%, compared to the 69% return of the KSE100 Index. OGDC has not issued any shares in the last five years. Currently, OGDC has a market cap of Rs. 577,228 million. The market cap of OGDC has increased by just 0.1% in the last five years.  OGDC has good weighting in PSX-indices. KSE100 Index: 3.81%, KSE30: 5.42%, and KMI30: 7.64%. See OGDC Market Price Chart. See OGDC Key Valuation Metrics See OGDC Earnings Note.

OGDC | Oil & Gas Development Company Limited Earning Release Q3-Mar 2024 OGDC announced earnings per share (EPS) of Rs. 11.12, compared to Rs. 15.03 in the same quarter last year. A cash dividend of Rs. 2 per share was declared for this third-quarter.  On a 9-month basis, OGDC announced EPS of Rs. 39.78, compared to an EPS of Rs. 37.12 last year.  OGDC earned a profit after tax of Rs. 47,808 million for the third-quarter of 2024. Registering a decrease of 26.0% over last year. In terms of the components of profit and loss, ↗ Revenue increased by 6.5% in this quarter compared to last year,  = Gross profit remaining stagnant, ↘ EBIT decreased by 17.7%, ↘ Profit before tax decreased by 18.5%. The tax rate for the quarter was 41.2%, which was higher by 6.0% compared to the same quarter last year. That eroded the bottom line further. The gross profit margin for the quarter was 64.2%, which was lower than 4.1% in the same quarter last year. To give a historic context to the...

Oil & Gas Development Corp Ltd (PSX:OGDC) is currently trading at a market price of Rs. 134.86, within its 52-week range of Rs. 73.1 to Rs. 158.59. It has shown a six-month return of 33.2% and a one-year return of 53.9%. The company's price-to-earning ratio stands at 2.3, while its price-to-book ratio is 0.5. With 15% free float and 4,301 million issued shares, OGDC commands a market capitalization of Rs. 580 billion. Comparatively, the KSE100 Index has achieved a year-to-date return of 11.68% and a one-year return of 75.70%. OGDC, holds significant weightings within several key Pakistani Stock Exchange (PSX) indices. Notably, it comprises 3.78% of the KSE100 Index, 5.41% of the KSE30 Index, and 7.61% of the KMI30 Index, highlighting its considerable influence within the Pakistani stock market. OGDC holds 20% stake in Mari Petroleum Company Limited, that trades on Pakistan Stock Exchange under the ticker 'MARI'. OGDC has also invested in Reko Diq Mining Company (Private...

OGDC: Oil & Gas Development Company Limited, Earnings Release: Q3 March 2023  EPS: Rs. 15.03. Cash Dividend: Rs. 1.8 per share Price (Rs.) 1 Month 6 Month 1 Year 86.17 5.50% 22.49% 1.90% Profit after tax of Rs. 64 billion is almost 50% of the PAT of Q3 last year, while profit before tax (PBT) is about 54% higher than the same quarter last year. Sales of Rs. 105.9 billion for the quarter have grown by 19%, while gross profit has grown by 16.6%. Gross margin was depressed due to higher operating expenses. Revenue was boosted due to the weakening rupee and higher oil prices. The real boost to the income came from 'other income' of Rs. 37.4 billion, which grew 4.5 times over the same period last year, due to higher investment income as interest rates rose. Other income also increased due to exchange gains coupled with share of profit in associates. The tax rate for the quarter was 35.2%, in line with the recent historic average. OGDC is trading at very low multiples, i.e., PE o...

Oil and Gas Development Company Limited Directors Report: March 31, 2023 Discovery : OGDCL's exploratory efforts to locate new reserves during the period under review yielded 3 oil and gas discoveries having an expected cumulative daily production potential of 3,007 barrels of oil and 2.7 MMcf of gas.  Production : OGDCL's production during the period under review contributed around 46%, 29% and 36% towards Country's total oil, natural gas and LPG production respectively (source: PPIS). Production : The average daily net saleable crude oil, gas and LPG production clocked in at 33,034 barrels, 765 MMcf and 732 tons in comparison to 36,173 barrels, 828 MMcf and 822 Tons in the comparative period respectively.  Revenue : Higher sales are primarily attributable to an increase in the realized price of crude oil averaging US$ 75.01/barrel (9M 2021-22: US$ 68.84/barrel). Other Income: In addition to the above, higher interest income on investment and bank deposits and exchange ga...

OGDC earned Rs. 9.7 per share in the second quarter ending December 2022. The company also announced a cash dividend of Rs. 2.25 per share. OGDC's twelve-month trailing EPS is now Rs. 37.2 and a cash dividend of Rs. 7.5, translating into a compelling PE of 2.3 and a dividend yield of 8.6%. Profit after tax of Rs. 41.7 billion for the second quarter was less by 21% over the first quarter on lower production, higher costs, and lower other income.  Comparing with Ist quarter ending Sep22; Sales declined by 8.6% and gross profit declined by 14% over Ist quarter, Other operating expenses increased by 1.5 times, Other income halved, negatively impacting Profit before tax over 26%. This is despite the higher spread in crude and the favorable exchange rate. Declining production is a cause for concern For the HY ending December 22, crude oil sales made up 46% of total revenue, and natural gas sales made up 43%. OGDC: Oil & Gas Devl Corp ttm Dec22 Sep22 Jun22 Mar22 Dec21 Q2 - 2023 Q1 - 2...

OGDC is trading at Rs. 86.88 (market close Mar 10, 2023) down 3.14% in one year compared to 4.7% decline on KSE100 Index. OGDC share price had made a 52-week high of Rs. 109.8. The scrip is trading at a very low earning multiple of 2.3 and price to book at less than half. Its twelve months trailing yield is 8.6%. OGDC is one of the few of PSX listed companies that pay cash dividend every quarter. The Company never gave stock dividend. Share Price (Rs.) 1 Month 3 Month 1 Year 86.88 -14.03% 20.82% -3.14%

OGDC Profit in HY Dec 2022, boosted by higher international crude oil prices in comparison to the corresponding period last year.  Average basket price of crude oil was US$ 93.53/barrel against US$ 75.22/barrel in the comparative period. Furthermore, rise in average exchange rate from Rs 169.98/US$ to Rs 223.85/US$ lent strength to the financials.  In addition to the above, the Company's profitability during the period under review was positively impacted by increase in interest income on investment and bank deposits and share of profit in associates. 

Oil and Gas Development Company Limited was incorporated in Pakistan in 1997.  The Company is the market leader in E&P sector of Pakistan holds the largest exploration acreage and portfolio.  For Half year ending Dec 2022, OGDC contributed  46% and 29% and 37% towards Pakistan's total oil, natural gas production. The Company was listed on Karachi Stock Exchange on 2004, and trades under the PSX:Ticker 'OGDC'. Moreover, Global Depository Shares (GDR) of OGDC are listed on London Stock Exchange.  Free float of  OGDC is just 15%. The Government of Pakistan holds 85% of the company. The Market Cap of OGDC as of March 2023 was Rs. 374 billion (USD 1.34 billion).   Investments: 

 OGDC: Note on circular debt in recently released HY21 Financial Report.