PakStox Outlook

NRL - December 2023 HY Financial Report Declining oil prices in this quarter affected margins and resulted in inventory loss. High mark-up rates and escalating LC charges also affected profitability. Slow upliftment of Furnace Oil ahead of winter season exacerbated the situation. Local sales volume of Lube Base Oils declined by 25% due to planned turnaround of Lube-II Refinery. Financial constraints and lower product upliftment prevented the Company from increasing throughput, which remained at 50% compared to 56% last year. Company recorded a loss after tax of Rs. 4,653 million, resulting in a loss per share of Rs. 58.19, compared to a loss after tax of Rs. 5,484 million in the corresponding period. Fuel segment incurred a loss after tax of Rs. 4,394 million, compared to Rs. 6,049 million in the same period last year. https://financials.psx.com.pk/lib/DownloadPDF.php?id=225021

Recovering Profitability After two consecutive poor quarters , Pakistan State Oil Company Limited (PSO)  managed to achieve a net income of Rs 10.15 billion in the third quarter ending March 30, 2023. While this figure represents a 70% decline compared to the earnings in the corresponding quarter of the previous year, it a significant improvement from the loss of Rs. 4.6 billion incurred in the second quarter and the modest profit of Rs. 1.2 billion generated in the first quarter of this year. The profitability of PSO is primarily influenced by its volatile gross margin rather than fluctuations in revenue. Changes in revenue growth or decline are typically insignificant. For instance, in comparison to the second quarter, there was a 4% decline in revenue, yet the gross profit experienced a substantial increase. Similarly, when compared to the same quarter of the previous year, revenue witnessed a significant 43% increase, while the corresponding rise in gross profit was merely 6%....

Pakistan State Oil Company Limited Third Quarter Financial Statement 31 Mar 2023 The petroleum industry saw a significant decline of 19.6% in white oil sales - a dip of 17.1% in motor gasoline and 24.9% in diesel, mainly due to a slowdown in economic activities and inflating fuel prices. Additionally, the demand for black oil also declined by 32.1% as a result of limited furnace oil-based power generation given the reduced demand for electricity across the country. [PSO recorded] a 2.9% increase in its white oil market share compared to the same period last year, PSO sold around 51% of the industry volume. The major contributor was diesel, in which the company increased its market share by 4.1%, closing the period at 54.4%. Circular debt continues to be a major concern. Receivables from SNGPL increased by 65% from March 31, 2022, increasing PSO's average borrowings by 157% and finance cost by a staggering 995 basis points compared to the same period last year. A number of option...

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...

Fauji Cement Company Limited (PSX:FCCL) 3rd Quarter - March 2023 EPS : Rs. 0.77, declining over 19% on the average EPS of the last four quarters. Earnings took a hit due to an exchange loss booked in financial costs. Cash dividend, nil. Price (Rs.) 1 Month 6 Month 1 Year 11.85 2.16% -19.11% -30.29%

Lotte Chemical Pakistan Limited (PSX:LOTCHEM) 1st Quarter March 2023 EPS: Rs. 1.68 Cash Dividend: Interim cash Dividend of Rs. 2 per share. (20%) Price (Rs.) 1 Month 6 Month 1 Year 25.24 -0.7% -19.1% 27.6% EPS (Earnings Per Share): The EPS for the quarter was Rs. 1.68, which represents a growth of 26.30% compared to previous quarter. However, EPS growth over the average EPS for the last trailing twelve months was only 0.51%. Sales: LOTCHEM earned a revenue of Rs. 22,117 million for the quarter, which is an increase of 6.6% compared to the previous quarter and 8.8% compared to the same quarter last year. Gross Profit : The gross profit for the quarter was Rs. 4,439 million, which is a significant increase of 47.3% compared to the previous quarter and 10.7% compared to the same quarter last year. Profit After Tax: LOTCHEM earned profit after tax for the quarter of Rs. 2,542 million, which registered a growth of 26.3% compared to the previous quarter, but a decline of 2.8% co...