Engro Corporation is anticipated to announce its 3QCY22 on 18th Oct’22

Engro Corporation Limited (ENGRO) is anticipated to announce its 3QCY22 financial result on 18th Oct’22, where we expect the company’s consolidated earnings to arrive at PKR 7,817mn (EPS: PKR 13.57), up by 28% YoY. On the fertilizer business front, EFERT’s net profit settled at PKR 4,182mn (EPS: PKR 3.13), down by 5% YoY during 3QCY22 owed to reduction in urea and DAP offtake by 26% and 50% YoY, respectively due to flash floods across the country during the quarter.

Meanwhile, bottom-line of Engro Polymer & Chemicals Limited (EPCL) settled at PKR 2,257mn (EPS: PKR 2.36), down by 27% YoY, given i) lower volumetric sales amid monsoon season during the quarter, and ii) decline in PVC margins. Whereas, Engro Powergen Qadirpur Pakistan Limited (EPQL) posted a Profit after Tax of PKR 971mn (EPS: PKR 3.00) in 3QCY22 compared to PKR 558mn (EPS: PKR 1.72) during SPLY, up by 74% YoY.

In addition to this, we expect the profitability of Elengy business to settle at PKR 1,015mn, with an assumption of handling of ~599/mmcfd of RLNG during 3QCY22, as per our estimates. Whereas, contribution from Thar business (EPTL & SECMC) during 3QCY22 is anticipated to be PKR 3,175mn.

Alongside the result, we expect the company to announce cash dividend of PKR 7.00/share in 3QCY22 (PKR 30.00/share in 9MCY22).

Courtesy- AHL Research


Posted in Fertilizer & Petrochemical Industries.

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