Mari’s profits surge by 45% owing to Wellhead gas price incentive and finance income

October 22, 2019 (MLN): Mari Petroleum Company Limited (MPCL) has shown remarkable progress over the first quarter ended on September 30th 2019, as its consolidated profits grew by 45% to Rs. 7.4 billion over the corresponding period of last year.

The substantial growth in net earnings was attributed to the wellhead gas price incentive, PKR depreciation and an increase in finance income.

The company’s net revenue surged by 24% YoY to Rs. 17.8 billion despite lower oil and gas flows.

Furthermore, the company’s exploration expenses soared by 31.23% YoY, amid higher prospecting expense incurred with respect to seismic data acquired in Bannu West, Sukkur and Ghauri Blocks.

The operating costs increased by 17.58%, from Rs.2.7 billion to Rs. 3.2 billion during 1QFY20.

More notably, the finance income played a significant role in raising the company's profitability as it surged by 6.7 times YoY, to Rs. 1.1 billion.

Moreover, MPCL’s earnings per ordinary share have been reported at Rs.55.94 per share while those recorded last year were Rs.38.55 per share.

Financial Results for the first quarter ended on September 30th 2019 ('000 Rupees)

 

 

Sep-19

Sep-18

% Change

Gross sale to customers

 36,937,085

 27,128,905

36.15%

Gas development surcharge

 5,788,683

 540,055

971.87%

General sales tax

 3,735,963

 2,639,022

41.57%

Excise duty

 479,568

 494,841

-3.09%

Gas infrastructure development cess

 9,084,023

 9,113,870

-0.33%

Sales- net

 17,848,848

 14,341,117

24.46%

Royalty

 2,256,164

 1,827,651

23.45%

 

 15,592,684

 12,513,466

24.61%

Operating expenses

 3,254,626

 2,768,037

17.58%

Exploration and prospecting expenditure

 2,042,819

 1,556,728

31.23%

Other charges

 809,589

 586,923

37.94%

 

 6,107,034

 4,911,688

24.34%

 

 9,485,650

 7,601,778

24.78%

Other (expenses)/income

 289,015

 119,880

141.09%

Operating profits

 9,774,665

 7,721,658

26.59%

Finance income

 1,182,665

 175,906

572.33%

Finance cost

 248,375

 195,804

26.85%

Profit before taxation

 10,708,955

 7,701,760

39.05%

Provision for taxation

 3,245,998

 2,559,524

26.82%

Profit for the year

 7,462,957

 5,142,236

45.13%

Earnings per share – basic and diluted (Rupees)

 

 

 

Earnings per ordinary share

55.94

38.55

45.11%

Distributable earnings per ordinary share

1.51

1.45

4.14%

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Posted on: 2019-10-22T17:41:00+05:00

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