Mari Petroleum posts 11% YoY increase in Net profits during 1HFY21

February 18, 2021 (MLN): Mari Petroleum Company Limited (MPCL) has announced financial results of the 1HFY21, wherein the bottom-line of the company expand by 11% YoY to Rs 16.4 billion (EPS: Rs 3.06/sh) compared to the profits of Rs 14.7 billion (EPS: Rs 2.9/sh) in the corresponding period last year.

Alongside results, the company also announced a cash dividend of Rs 6 per share i.e. 60%.

The growth in profitability can be attributed to higher production and PKR depreciation. However, it constrained by higher operating expenses, drop-in finance income due to exchange losses, and lower mark-up income on deposits.

The revenues of the company jumped by 13% YoY largely due to a decline in oil prices, PKR depreciation and higher gas production from the Mari field as gas revenues contribute nearly 96% of the total net revenue.

On the costs front, Mari’s operating cost surged by 20% YoY while its Exploration expenses witnessed a decline of 14% YoY due to lower seismic activity during the period.

The effective tax rate of the company during the period remained the same at 30%, compared to the same period last year.

 

Financial Results for the Half-year ended on December  31, 2020 ('000 Rupees)

 

Dec-20

Dec-19

% Change

Gross sale to customers

 44,376,708

 39,251,897

13.06%

General sales tax

 (4,151,778)

 (3,805,504)

9.10%

Excise duty

 (1,014,846)

 (909,522)

11.58%

Sales- net

 39,210,084

 34,536,871

13.53%

Royalty

 4,900,416

 4,354,236

12.54%

 

 34,309,668

 30,182,635

13.67%

Operating expenses

 (7,679,904)

 (6,398,222)

20.03%

Exploration and prospecting expenditure

 (3,027,073)

 (3,511,795)

-13.80%

Other charges

 (1,651,987)

 (1,517,389)

8.87%

 

 (12,358,964)

 (11,427,406)

8.15%

 

 21,950,704

 18,755,229

17.04%

Other (expenses)/income

 15,197

 161,142

-90.57%

Operating profits

 21,965,901

 18,916,371

16.12%

Finance income

 1,750,544

 2,562,016

-31.67%

Finance cost

 (450,284)

 (491,737)

-8.43%

Profit before taxation

 23,266,161

 20,986,650

10.86%

Provision for taxation

 (6,864,965)

 (6,238,559)

10.04%

Profit for the period

 16,401,196

 14,748,091

11.21%

Earnings per share – basic and diluted (Rupees)

   

Earnings per ordinary share

122.94

110.5

11.26%

Distributable earnings per ordinary share

3.06

2.9

5.52%

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Posted on: 2021-02-18T18:23:00+05:00

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