IMS Research has released a report on Oil and Gas Company Ltd. (OGDC), which reported its 3QFY26 results today. The company posted a consolidated NPAT of PKR42bn (EPS: PKR9.82), up 22% QoQ but down 10% YoY. This brings the 9MFY26 NPAT to PKR115bn (EPS: PKR26.80), down 11% YoY.

OGDC declared a cash dividend of PKR3.25 per share, totaling a 9MFY26 DPS of PKR11.00, slightly lower than the estimated PKR3.5.

Key highlights include: – Revenue for the quarter was PKR107bn, flat YoY but up 11% QoQ, driven by increased production and higher oil prices amid US-Iran tensions. – Operating expenses decreased by 16% QoQ to PKR31bn. – Profit from associates rose 99% YoY to about PKR4bn, aided by a lower tax rate for MARI. – The effective tax rate increased to 35% from 30% year-on-year.

OGDC is well-positioned to benefit from increased production as LNG import disruptions continue, with ongoing discoveries such as Nashpa enhancing its profitability potential.