Pakistan State Oil (PSO), the national energy icon, has showcased its unwavering determination and resilience by achieving remarkable milestones in the first quarter of the financial year 2023-2024. In this period, PSO reported an unprecedented quarterly profit after tax of PKR 21.89 billion, resulting in impressive earnings per share of PKR 46.62. Additionally, PSO achieved its highest-ever quarterly gross sales of PKR 976 billion.
During a meeting held on October 20, 2023, the company’s Board of Management (BoM) reviewed the group’s performance for the first quarter ended September 30, 2023. The group also posted its highest-ever Q1 net profit after tax of PKR 23.99 billion, translating into earnings per share of PKR. 51.10.
Against the backdrop of galloping inflation, regressed growth, geopolitical tensions and a global increase in oil prices, the petroleum industry experienced a decline in product consumption. However, PSO navigated these challenges seamlessly while upholding its commitment to nationwide fuel supply.
The company further consolidated its dominance in the white oil segment by increasing its market share by 4.3%, closing the quarter with a 53.1% market share. Notably, PSO’s market share in diesel and gasoline increased by 4.5% and 4.2%, respectively, reaching 55.0% and 47.9%.
The black oil segment faced a challenging quarter with a 63% decline in sales due to low furnace oil-based power generation. However, PSO maintained its leadership in the black oil segment with a market share of 29.6% at the end of the quarter.
PSO rehabilitated 24 thousand tons of storage at Sihala and Zulfiqarabad to further strengthen the company’s robust supply chain and infrastructure. Additionally, 91 thousand tons of new storage are being constructed at Faqirabad, Faisalabad and Mehmoodkot. Embracing a forward-looking approach, PSO utilised its digital capabilities to propel growth and enhance operational efficiency by successfully automating two additional terminals at Mehmoodkot and Shikarpur, taking the total to 5.
PSO’s unwavering support for the nation is evident through its core values of caring and giving. The company contributed over PKR 30 million to various CSR initiatives focused on healthcare, education, environment, community building and disaster relief during the period.
Acknowledging the challenges posed by mounting trade receivables, high borrowing costs, and escalating finance costs, the Board actively engages in settlement discussions with the pertinent authorities to address these concerns.
PSO remains steadfast in its commitment to enhance its financial and operational performance, promising to keep the wheels of the economy in motion. The company aims to achieve this through a multifaceted approach, including digitisation and automation, process re-engineering, bolstering operational reliability and capacity, enriching customer experience with value-added services, and generating shareholder value through long-term strategic projects and plans.
The management sincerely thanks all stakeholders, including the Board of Management, the Government of Pakistan, the Ministry of Energy (Petroleum Division), shareholders and employees for their continued support and trust.