Islamabad: Oil & Gas Development Company Ltd (OGDC) announced a notable increase in its financial performance during the fiscal year 2026, with net sales reaching PkR449.2 billion, marking a 12% increase from the previous year. This growth, attributed to higher average realized prices and a surge in hydrocarbon production, led to the company's highest-ever net profit after tax (NPAT) of PkR242.4 billion.

According to AKD Securities Limited, OGDC's analyst briefing highlighted that the company's earnings per share rose to 56.4, reflecting a 43% increase compared to the previous year. Additionally, OGDC declared a cash dividend of PkR17.0 per share, up from PkR15.05 per share in the same period last year. The fiscal year saw average realized prices for crude oil at US$67.7 per barrel, an 11% increase, while natural gas prices climbed by 5% to PkR768.4 per mmbtu. In contrast, LPG prices saw a slight decline of 3%, settling at PkR165,000 per ton.

AKD Securities reiterated its 'BUY' recommendation for OGDC, setting a target price of PkR522 per share for December 2026, along with a forecasted dividend yield of 6.2% for the following fiscal year. The optimistic outlook is supported by OGDC's robust production profile, promising exploration opportunities due to improved liquidity, and strategic investments, including an 8.33% stake in the Reko Diq Mining Project and interests in Abu Dhabi's Offshore Block-5. The company is also exploring potential joint ventures with U.S. firms to tap into significant unexploited shale reserves globally.