October 27, 2021 (MLN): Mari Petroleum Company Limited (MPCL) has announced its financial results for the first quarter of the fiscal year 2022 ended on September 30, 2021, wherein the bottom-line of the company saw a meager increase of 0.37% YoY, to Rs9.10 billion, translating into an EPS of Rs38.21 when compared with the same period last year in which net profits were recorded at Rs9.07bn (EPS: Rs67.96).
The slender increase in profitability came on the back of higher gas flows particularly from MARI HRL and higher Arab Light prices used for gas pricing.
According to the financial results sent to PSX, the net sales edged higher by 1.8% YoY to stand at Rs20.73bn while royalty expenses jump by around 4% YoY in the 1QFY22.
Overall, the production of gas has increased by 0.1% YoY during 1QFY22 while flows of MARI HRL are entitled to incremental pricing, down by around 4% YoY given lower off-take by Engro Fertilizer plant due to Annual Turnaround of EnVen plant, a report by Foundation Securities noted.
Exploration and prospecting expenditure is up by 43% YoY to Rs1.7bn given the company’s aggressive plans to add more reserves besides attaining sustainability of existing flows, it added.
More notably, the financial cost of the company plunged to Rs99.24mn, down by 64% YoY. Meanwhile, the financial income of the company also dropped by 12.45% YoY to stand at Rs865.64mn during 1QFY21 as the company has resumed dividend payment to its shareholders.
