Karachi: APL has reported a decline in its net profit after tax (NPAT) for the fourth quarter of the financial year 2026, amounting to PkR2.2 billion, which represents a 19 percent decrease year-on-year and a 74 percent drop quarter-on-quarter. This brings the full-year NPAT to PkR17.0 billion, marking a 63 percent increase from the previous year’s PkR10.4 billion. The company’s performance surpassed expectations due to lower-than-anticipated inventory losses in the final quarter and led to a declared final dividend per share (DPS) of PkR40.0, culminating in an annual DPS of PkR60.0, a significant increase from PkR25.5 in FY25.

According to AKD Securities Limited, APL’s net sales for the fourth quarter rose to PkR163.4 billion, reflecting a 28 percent year-on-year and 27 percent quarter-on-quarter increase. For the full year, sales reached PkR533.1 billion, up 12 percent from the previous year. This growth was attributed to a higher fuel price environment during the quarter. However, the company saw a decline in total volumes to 319,000 tons, a 9 percent year-on-year decrease, with high-speed diesel (HSD) sales dropping to 126,000 tons and motor spirit (MS) offtakes declining to 152,000 tons. The company’s market share also slightly decreased to 8.4 percent during the fourth quarter, compared to 8.7 percent during the same period last year.

The analysis from AKD reiterated a 'BUY' stance on APL with a target price of PkR760 per share by December 2026. This position is supported by expected volume growth amid market share normalization, anticipated revisions in oil marketing company (OMC) margins, growth in cash payouts, and diversification of revenue streams through liquefied petroleum gas (LPG) and electric vehicle (EV) charging infrastructure.