Pakistan Petroleum Limited (PPL) is expected to announce its FY22 financial result on 20th Sep’22, where we expect company’s bottom-line to clock-in at PKR 64,122mn (EPS: PKR 23.57) in contrast to PKR 52,431mn (EPS: PKR 19.27) in FY21, up by 22% YoY. This growth comes on the back of i) jump in Sui wellhead price by 16% YoY, and ii) surge in oil prices by 71% YoY amid a revival in oil demand internationally.
Meanwhile in 4QFY22, earnings are anticipated to register a slump of 18% YoY, settling at PKR 11,792mn (EPS: PKR 4.33) amid the imposition of super tax. Whereas net sales are expected to ascend by 65% YoY on account of i) 20% YoY PKR devaluation against USD, ii) massive surge of 66% YoY in oil prices, and iii) increase in Sui wellhead price by 29% YoY.
Furthermore, we expect the exploration expense to drop by 58% YoY in 4QFY22 to PKR 2,796mn given higher cost of dry well (Dhok Sultan-2) in SPLY. Alongside the result, we expect the company to announce a final cash dividend of PKR 3.00/share (PKR 4.50/share in FY22).
Courtesy – AHL Research