April 25, 2021 (MLN): The highlights of the important economic and business events that took place during the last week are in order so as to become acquainted with the recent developments in Pakistan’s economic and public policy.

• The National Command and Operation Centre (NCOC) on Saturday amid spiking Covid-19 disease across the country proposed lockdown in mega-urban centers with higher disease prevalence.
• A group of funds managed by Ashmore Investment Management Ltd is planning to sell part of their stake in drink packaging manufacturer Pakistan Aluminium Beverage Cans Ltd (PABC) in an initial public offering in June.
• On the economic front, Finance Minister Shaukat Tarin reiterated the firm resolves of the government in achieving macro-economic stability and sustained economic growth by following a consultative process.
• On the upside, 1,263 MW Punjab Thermal Power Private Limited (PTPL) Project being set up in Jhang on Friday achieved financial close.
• On Friday Petroleum Division awarded six more oil and gas blocks to three leading companies aimed at achieving self-sufficiency in the energy sector by increasing Exploration and Production (E&P) activities in potential areas of the country.
• The State Bank of Pakistan (SBP) conducted an Open Market Operation on Friday in which it injected Rs1,817.35billion into the market for 7 Days.
• Federal Minister for Privatisation, Mohammed Mian Soomro reviewed issues regarding shares divestment of OGDCL, PPL and MARI during the weekly Privatisation progress review meeting held on April 22, 2021.
• On the tax front, Prime Minister Imran Khan emphasized on out of the box solutions related to tax system as reforms in tax system is governmnet’s top priority.
• In order to combat the menace of Benami and take the spirit of accountability, Federal Board of Revenue (FBR) informed that four additional Anti-Benami Zones under the Directorate General of Anti-Benami Initiatives to be established.
• To boost the bilateral trade, Pakistan and Iran signed a Memorandum of Understanding (MoU) under which six trade centers will be established at the border areas.
• As per the recent development in textile sector, Cabinet ratified the decision of the Economic Coordination Committee (ECC) to withdraw Customs Duty on import of Cotton Yarn to encourage value-added exports.
• On the trade front, Iran lifted the restrictions on the import of Pakistani citrus.
• In order to combat the spread of the deadly virus- Covid-19 pandemic, United Nations Children’s Fund (UNICEF) would provide US $14.5 million PPEs (Personal Protective Equipment) to Pakistan.
• For the betterment of dairy sector, President Dr Arif Alvi said that the government is paying special attention to promotion of the dairy industry for growth in GDP, food security and poverty alleviation.
• The oil and Gas Regulatory Authority (OGRA) on Monday held a public hearing on petitions for grant of license for construction and establishment of an LNG re-gasification terminal including all allied facilities at Port Qasim, Karachi.

Announcements:

• On the equity front, TAG from Pakistan joined Visa’s Fintech Fast Track program in the Central and Eastern Europe, Middle East, and Africa (CEMEA) region.
• An agreement was signed between PSX and HBL on Tuesday during Gong Ceremony at PSX whereby HBL becomes Market Maker for debt instruments listed on PSX.
• TPL Insurance Limited (TPLI) announced that DEG –Deutsche Investitions- und Entwicklungsgesellschaft mbH made an investment in TPLI and acquired a 20% shareholding in the same.
• Bulleh Shah Packaging (Pvt) Limited (BSPL) approved an investment in a new state of the art corrugated packaging line, subject to exchange rate fluctuations and changes in duties/taxes if any.
• VIS Credit Rating Company Ltd. (VIS) assigned initial entity ratings of ‘A+/A-1’ (Single A plus/Single A-One) to Interloop Limited (ILP).
• PakGen Power Limited and the Central Power Purchasing Agency Limited (the Power Purchaser) have signed the “PPA Amendment Agreement”.
• Byco Petroleum Pakistan Limited (BYCO) notified the Exchange that IGCF Oil and Gas Limited, is desirous of reducing its indirect equity investment in BYCO held through BII.
• Tariq Glass Industries (TGL) informed that the company successfully managed the completion of its new state-of-the-art Float Glass Plant Unit-2 with a capacity of 500 Metric Tons per Day.
• TRG Pakistan Limited announced that the company entered into a definitive agreement to sell its economic stake in its health insurance marketing subsidiary to a leading US-based marketing company. 
• In order to gain more visibility in the market, the Board members of Mughal Iron & Steel Industries Limited approved the increase in the authorized capital of the Company.
• On Monday, Mari Petroleum Limited (MPCL) notified that an Amendment Agreement to Mari Wellhead Gas Pricing Agreement 2015 was signed between the Government of Pakistan and MPCL.

Financial results:

Apart from this, amid ongoing earnings season, several listed companies revealed their financial results for the quarter ended on March’21 this week, some of the important ones are highlighted below:

• Kot Addu Power Company Limited (KAPCO) witnessed a drop in net profit by 10.4% during 9MFY21 compared to the corresponding period last year.
• Fauji Cement Company Ltd (FCCL) posted a 9.6x increase in profit to Rs2.6bn during 9MFY21.
• Habib Metropolitan Bank Ltd (HMB) reported its consolidated net profits of Rs3.33bn, 2x YoY higher than the net profits recorded in the same period last year (SPLY).
• Allied Bank Limited (ABL) reported a jump of 5.7% in net profit to clocked in at Rs4.11bn compared to the corresponding period last year.
• On the same day, Pak Suzuki Motors Company (PSMC) posted a profit after tax of Rs778million.
• Lotte Chemical Pakistan Limited (LOTCHEM) reported net profit of Rs1.6bn during 1QCY21 which was 28.2x higher than the profit of Rs57.9mn 1QCY20.
• Engro Corporation Limited (ENGRO) posted net profit of Rs14.78bn for the three months ended March 31, 2021 which was 2.5x higher than the profit reported in the corresponding period last year.
• Bank Alfalah Limited (BAFL) reported net profit of Rs3.42bn during 1QCY21, up by around 18% YoY compared to the same quarter last year.
• Shell Pakistan Limited (SHEL) returned to profitability in the first quarter ended March 31, 2021, gained Rs1.95bn in terms of profit.
• Kohinoor Textile Mills Limited (KTML) witnessed a phenomenal turnaround in net profit which clocked in at Rs7.83bn during 9MFY21, compared to the net loss of Rs1.98bn incurred in the SPLY.
• United Bank Limited (UBL) disclosed its net profit of Rs7.58bn for the 1QCY21 ended March 31, 2021.
• Nishat Power Limited (NPL) reported consolidated net profit of Rs2.12bn during 9MFY21 ended March 31, 2021, depicting a decline of around 44% YoY against net profits of Rs 3.78 billion in the same period of last year.
•  Maple Leaf Cement Factory (MLCF) reported a net profit of Rs2.8bn during 9MFY21 against the net loss of Rs2.7bn company incurred in the SPLY.
• Aisha Steel Mills Limited (ASL) witnessed a turnaround in earnings as its net profit clocked in at Rs4.75bn compared to the net losses of Rs438.63mn in the SPLY.
• FrieslandCampina Engro Pakistan Limited (FCEPL) rolled back to profitability during 1QCY21 compared to the same quarter last year, and posted net profits of Rs546.7mn against the net loss of Rs131mn in the SPLY.
• Meezan Bank Limited (MEBL) witnessed a 24% YoY increase in net profits to Rs6.12bn during 1QCY21, compared to the profits in the corresponding quarter last year.
•  International Steels Limited (ISL) posted a whopping 7.86x YoY increase in net profit to Rs5.15bn during 9MFY21.
• Amreli Steels Limited (ASTL) witnessed a turnaround in net profit to Rs926mn for the nine months ended on March 31st, 2021.
• Habib Bank Limited (HBL) reported a 2.1x YoY increase in net profit to Rs8.5bn for the 1st quarter ended March 21, 2021, as against the profits of Rs4.1 billion in the same quarter a year ago.
• On Tuesday, MCB Bank reported net profit of Rs7.05bn for the 1QCY21, around 6% higher than the SPLY.
• Engro Fertilizers Company Limited (EFERT) posted a whopping 10x increase in net profits to Rs5.74bn in 3QFY21 compared to the profit of Rs570.7mn in the corresponding quarter last year.
• Mari Petroleum Company Limited (MPCL) saw a meager increase of 0.57% YoY, to Rs23.35bn during 9MFY21.
• Engro Polymer and Chemicals Limited (EPCL) posted massive growth of 21.5 times YoY in its net profit as compared to the SPLY. 

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