Karachi, August 16, 2022 (PPI-OT): Oil and Gas Marketing Companies – Attock Petroleum Limited

Earnings: Attock Petroleum Limited (APL) announced it 4QFY22 result. The Company reported 4QFY22 earnings of PKR 7.30bn (EPS PKR 73.2), up by massive +5.8xy/y compared to PKR 1.26bn (EPS PKR 12.6) in the similar period last year. This brings total profitability for FY22 to PKR 18.54bn (EPS PKR 186.2), up by +3.8xy/y, compared to PKR 4.92bn (EPS PKR 49.4) in the corresponding period last year.

Dividends/Payouts: APL announced final cash dividend of PKR 30/share during 4QFY22 bringing total cash payout for FY22 to PKR 45/share compared to PKR 17.5/share in FY21. The Company also announced bonus issue of 25% along with the result.

Operating performance: During the period under review, APL reported +2.4xy/y increase in revenue during 4QFY22 on the back of rise in domestic prices for MS, HSD and FO and higher volumes. Gross Margins increased to 15.4% during 4QFY22 likely on the back of hefty inventory gains compared to 4.4% in the similar period last year (3QFY22: 9.8%). However, earnings growth was higher taxation. Operating expenses increased by +3.3xy/y to PKR 4.80bn during 4QFY22 compared to PKR 1.45bn in the corresponding period last year. Other charges also increased by +8.4xy/y to PKR 1.07bn during 4QFY22 compared to PKR 0.13bn in the same period last year. Effective tax stood at 50.0% during 4QFY22 (3QFY22: 29.0%) compared to 30.0% in the same period last year bringing total effective tax rate for FY22 to 39.4% compared to 29.1% last year.