Fakiha Tariq

The Pakistan State Oil Company Limited (PSO) reported a hefty growth of 55% in gross revenue during the nine-month period (July 22–March 23) of the ongoing Fiscal Year 2023. However, the gross profit decreased by 37% and the net profit by 84% compared to the corresponding periods of the last fiscal year, reports WealthPK. The gross sales during the nine-month period were Rs2.67 trillion. The company made a gross profit of Rs58 billion, with the gross profit ratio standing at 2.2%. The state oil monopoly collected a meagre net profit of Rs10 billion and a net profit ratio 0.4% in the 9MFY23, respectively. The company posted the earnings per share of Rs21.91 during the period.

In comparison to the corresponding period of last fiscal (9MFY22), the company showed a huge increase in revenue by 55% from Rs1.7 trillion to Rs2.6 trillion in 9MFY23. On the contrary, the gross profit of Rs92 billion in 9MFY22 dropped by 37% to Rs58 billion in 9MFY23. The net profit of Rs64 billion declared in 9MFY22 plummeted by 84% to Rs10 billion in 9MFY23. The company posted earnings per share of Rs137.96 in 9MFY22, which drastically dropped to Rs21.91 in 9MFY23. The PSO is the largest firm in the oil and gas marketing sector with a market capitalization of Rs49.5 billion.

PSO – Quarterly Review – 9MFY23

The PSO remained gross profits in every quarter of the ongoing Fiscal Year 23. The company only posted a net loss in the second quarter (Oct 22-Dec 22) of FY23. The gross sales were the highest in the first quarter (Jul 22-Sept 22) of the ongoing fiscal 2023. In the first quarter (Jul 22-Sept 22) of FY23, the company posted a gross revenue of Rs929 billion and a gross profit of Rs6.7 billion. The company posted a net profit of Rs1.19 billion. Therefore, the gross and net profit ratios were 0.7% and 0.1%, respectively. In 1QFY23, the company reported the earnings per share of Rs2.55.

In the second quarter (Oct22-Dec22), the oil marketing firm earned Rs887 billion in gross revenue and Rs4.84 billion in gross profit. The company posted a net loss of Rs4.55 billion. Therefore, the gross profit and the net loss ratio were reported to be 0.5% and 0.5%, respectively. In 2QFY23, the company reported the loss per share of Rs9.71. In the third quarter (Jan 23-Mar 23), the PSO recorded a revenue of Rs861 billion and a gross profit of Rs46 billion. The company posted a net profit of Rs13 billion – the highest of all three quarters. Therefore, the gross profit and net profit margins for 3QFY23 were reported at 5.4% and 1.6%, respectively. During this quarter, the company posted the earnings per share of Rs29.07.

Credit: Independent News Pakistan-WealthPk