Pakistan Oilfields recorded a growth of 45% YoY 1QFY22

Pakistan Oilfields Limited (POL) announced its financial result today, posting a profit after tax of PKR 5,258mn (EPS: PKR 18.52) during 1QFY22 in contrast to PKR 3,629mn (EPS: PKR 12.78) in 1QFY21, depicting a jump of 45% YoY.

Result Highlights

· Net Sales in 1QFY22 witnessed a growth of 26% YoY, settling at PKR 11,077mn compared to PKR 8,758mn during SPLY amid hefty surge in realized oil prices by 68% YoY. However, oil and gas production dropped by 8% and 9% YoY, respectively during 1QFY22.

· The exploration costs escalated by a massive 5x YoY in 1QFY22, clocking-in at PKR 451mn against PKR 76mn in SPLY, on the back of higher seismic activity at Taung Block during the period.

· Other income in 1QFY22 arrived at PKR 2,700mn versus PKR 303mn in SPLY, ascending by 9x YoY, on account of exchange gain on foreign currency.

· The company booked effective taxation at 29% in 1QFY22 vis-à-vis 28% in 1QFY21.

Recommendation

Currently, we have a ‘BUY’ call on the stock with Dec’21 target price of PKR 556.6/share

Courtesy – AHL Research

Share:
Posted in Article & Features.

Leave a Reply

Your email address will not be published. Required fields are marked *