August 27, 2024 (MLN): PSO, the nation's largest energy company, showcased impressive financial performance and strategic prowess in a challenging market, it said in a statement on Tuesday.

Defying economic headwinds, including slow market growth, currency fluctuations, and geopolitical uncertainty, PSO achieved a profit after tax of Rs15.9 billion, reinforcing its status as the country's trusted energy partner.

The board also announced a dividend of Rs10 per share, representing a 100% payout for the financial year 2023-24.

Furthermore, PSO's subsidiary, PRL, delivered a robust performance with a profit after tax of Rs4.1bn and gross revenue of Rs403.6bn.

On a consolidated basis, the group achieved a profit after tax of Rs18.3bn, translating to an Earnings Per Share (EPS) of Rs39.

PSO is the backbone of Pakistan's energy sector, keeping the wheels of the nation’s economy in motion. In the intensely competitive white oil market, the company expanded its market share to 51.6% share, exceeding its previous record and solidifying its position as the market leader.

PSO's success is primarily driven by its exceptional motor gasoline performance, which saw a notable 1.6% increase in market share, strengthening its hold to 45.8%, the company  said.

Despite adverse challenges, PSO proactively captured a 53.2% market share. The company continued to dominate the aviation fuel industry, achieving a remarkable 99.1% market share. Similarly, in fuel oil, PSO sold 285,000 tons against the industry volume of 1.2 million tons.

In the face of a complex landscape marked by inflation, import restrictions, and decreasing automotive sales, the lubricant industry achieved 3% growth. However, PSO outperformed the market with a 9.7% sales surge, capturing 26.9% market share – a 1.6% increase from the previous year.

The LPG industry grew by 5.7% this year, driven by domestic and commercial demand amidst pipeline gas supply disruptions. PSO achieved a record 49,100 tons in sales, a 22% increase from last year, through strategic sourcing and an expanded distribution network.

PSO expanded its national footprint by adding 101 new retail outlets and over 200 Shop Stop locations, bringing the total to 3,580 outlets. The company's collaborative effort with Frontier Works Organization (FWO) on the White Oil Pipeline (WOP) project made significant progress, with a Memorandum of Understanding (MOU) in place and FEED study already completed.

As part of its state-of-the-art Fuel Management System (FMS) solution, PSO, in partnership with Pakistan Railways, is upgrading Railways Filling and Storage Facilities in Karachi and Lahore, followed by six other locations across the country.

PSO's future-focused strategy leverages digital capabilities, driving growth and enhancing operational efficiency.

By integrating and automating two additional terminals at Mehmoodkot and Shikarpur, PSO expanded its terminal network to five, while also completing the integration of 1,000 outlets with its central command and control system.

The company bolstered its fuel storage capabilities with the successful addition of three new tanks at Faqirabad, Mehmoodkot, and Faisalabad terminals, resulting in a substantial 91,000 metric tons capacity increase.

This expansion brought the total storage capacity to 1.24 million tons across Pakistan, supporting an operational availability of over 90% throughout the year.

Consistent with its goal to decrease plastic waste and promote green infrastructure, PSO launched the ECO Street initiative, repurposing 5,000 kg of recycled plastic waste from its Lubricant Manufacturing Terminal (LMT) in Karachi into a sustainable road surface covering 49,428 square feet.

The project redefines the future of infrastructure development, prioritizing eco-friendliness, durability, and waste reduction.

PSO's strategic diversification efforts achieved significant milestones across its subsidiaries. CERISMA (Pvt.) Limited obtained in-principal approval for an Electronic Money Institution (EMI) license, laying the groundwork for a comprehensive digital ecosystem. Simultaneously,

PSO Renewable Energy (Pvt.) Limited successfully developed solar projects across facilities and retail stations, accelerating PSO's transition to a more sustainable energy mix.

Pakistan Refinery Limited (PRL) effectively leveraged the brownfield refining policy, with the front-end-engineering-design (FEED) scheduled for completion in December 2024.

Guided by its core principles of caring and giving, PSO strives to make a meaningful impact on society and the environment. The company's CSR initiatives have brought positive change to countless lives in Pakistan, spanning healthcare, education, environmental conservation, welfare, and flood relief, with contributions totaling Rs350 million.

PSO is navigating through challenging times, marked by rising trade receivables and borrowing expenses. To address these issues, the company is proactively engaging in collaborative discussions with key stakeholders and regulatory authorities to find effective, long-term solutions that ease PSO's financial burden.

Looking ahead, PSO is poised to transform the industry with the power of innovation, diversification, and renewable energy.

By staying true to its mission, the company is well-positioned to drive progress in Pakistan's energy sector, balancing the country's immediate needs with the global imperative for cleaner, greener energy solutions, it said.

Press Release

Posted on: 2024-08-27T14:49:22+05:00