September 20, 2023 (MLN): Pakistan Petroleum Limited (PSX: PPL) has revealed its financial results for the year ended June 30, 2023, as per which the company posted a profit after tax of Rs97.22bn [EPS: Rs35.72] depicting a surge of 78.87% YoY, compared to Rs54.35bn [EPS: Rs19.19] profit earned in the same period last year (SPLY).
Along with the FY23 financial results, the board of directors (BoD) of PPL has recommended a cash dividend of Rs1.50 per share (15%) on Ordinary Shares and Rs1.50 per share (15%) on Convertible Preference Shares.
Going by the results, the company's top line marked an increase of 41.33% YoY to Rs288.05bn as compared to Rs203.81bn in SPLY.
With respect to the cost of sales, the operating costs along with Royalties, and other levies rose by 20.91% YoY to 51.12% YoY to Rs49.28bn and Rs46.88bn respectively in FY23.
Despite a significant increase in the company's cost of sales, the gross profit improved by 45.34% YoY to Rs191.9bn in FY23.
On the expense side, the company observed a fall in Exploration expenses by 9.82% YoY and administrative expenses by 14.57% YoY to clock in at Rs22.39bn and Rs3.99bn respectively during the review period.
Conversely, PPL's other charges rose to Rs15.78bn in FY23 compared to Rs13.93bn incurred in SPLY, reflecting a rise of 13.27% YoY.
The company's profitability was further boosted by the increase in other income as it surged by 22.65% YoY to stand at Rs17.4bn in FY23 as compared to Rs14.19bn in SPLY.
During FY23, the associates of PPL continued to incur losses; however, the share of loss significantly decreased by 73.79% YoY to Rs683.24m in the review period.
The company’s finance costs rose by 19.62% YoY and stood at Rs1.55bn as compared to Rs1.3bn in FY23, mainly due to higher interest rates.
On the tax front, the company paid a higher tax worth Rs67.69bn against the Rs44.58bn paid in the corresponding period of last year, depicting a rise of 51.82% YoY.
| Consolidated (un-audited) Financial Results for the year ended 30 June 2023 (Rupees in '000) | |||
|---|---|---|---|
| June 23 | June 22 | % Change | |
| Sales | 288,053,039 | 203,810,768 | 41.33% |
| Operating expenses | (49,277,810) | (40,755,673) | 20.91% |
| Reversal of provision for doubtful debts – net | (46,875,376) | (31,017,914) | 51.12% |
| Gross Profit | 191,899,853 | 132,037,181 | 45.34% |
| Exploration expenses | (22,386,901) | (24,823,651) | -9.82% |
| Administrative expenses | (3,994,197) | (4,675,290) | -14.57% |
| Reversal of provision for doubtful debts – net | 0 | 41,929 | – |
| Share of loss of associates | (683,235) | (2,607,077) | -73.79% |
| Other income | 17,404,708 | 14,190,164 | 22.65% |
| Other charges | (15,776,165) | (13,928,504) | 13.27% |
| Finance cost | (1,552,086) | (1,297,469) | 19.62% |
| Operating profit | 164,911,977 | 98,937,283 | 66.68% |
| Taxation | (67,690,363) | (44,584,587) | 51.82% |
| Net profit for the period | 97,221,614 | 54,352,696 | 78.87% |
| Basic and diluted earnings/ (loss) per share | 35.73 | 19.98 | – |
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Posted on: 2023-09-20T12:57:11+05:00
