Qudsia Bano

Pakistan Refinery Limited’s revenue from sales increased by 118% to Rs130.3 billion in the first six months of the ongoing financial year 2022-23 (6MFY23) compared to Rs59.9 billion over the corresponding period of the previous fiscal. The gross profit of the company increased by 18% to Rs1.7 billion in 6MFY23 from Rs1.4 billion recorded in 6MFY22. Similarly, the net profit of the company increased 763% to Rs759 million in the first six months of FY23 from a loss of Rs114 million over the corresponding period of the previous year. The company produced successful outcomes through improved inventory management and an operating philosophy that focused on optimum crude throughput with a maximum production of premium products (high-speed diesel and petrol), reports WealthPK.

Performance in 2021-22

During the fiscal year 2021-22, the company’s gross sales pushed up to Rs191 billion from Rs92 billion in FY21, posting a massive increase of 108% year-on-year.   The gross profit for FY22 stood at Rs20.3 billion, 525% up from Rs3.2 billion in FY21. During the period, the company maintained its operational plan, concentrating on producing items with better margins like high sulfur furnace oil.

Additionally, the company concentrated on acquiring low-cost opportunity crudes to increase gross refining margins. Although the regressive tax measures included in the Finance Act 2022 affected the company’s profits, the above positive factors allowed the company to post a record profit-after-tax of Rs12.6 billion for the fiscal year that ended on June 30, 2022, way up from the profit of only Rs937 million the previous year.

Earnings Per Share

In recent years, the company’s EPS demonstrated fluctuating patterns. In FY19, the EPS was minus Rs13.68, which further increased to minus Rs17.74 in FY20. However, EPS showed massive growth and stood at Rs19.96 in FY22.

About Company

Pakistan Refinery Limited was incorporated as a public limited company in May 1960. The company is engaged in the production and sale of petroleum products. The firm is a subsidiary of Pakistan State Oil Company Limited (PSO).

Credit: Independent News Pakistan-WealthPk