Oil and Gas Development Company Limited’s (OGDCL) profits improved by 57% to Rs 26.73 billion in the first fiscal quarter that ended on September 2018-2019 (Q12019) from Rs 17.00 billion in the same period last year.
The growth was seen on the account of higher sales, which were up by 40.57% to Rs 61.79 billion, as compared with Rs 43.96 billion in the corresponding previous year, and the other income which increased by 31.74%.
The net sales increased due to the higher prices of Arab Light Oil, which were up by 50%, Rupee’s devaluation against the Dollar and higher gas volumes.
Earnings per share of the company came in at Rs. 6.22 compared to Rs 3.95 in the same period last year.
The company also announced a cash dividend of Rs 2.75 per share i.e 27.5% for the quarter.
The other core income of the company exhibited progress as it increased by 31.74% thanks to an exchange gain of Rs 855 million, whereas the General and Administrative expenses were decreased by 10.43% which positively impacted the results of the company.
OGDC booked Rs 1.02 billion in profits from associates, up by 125% from Rs 456 million.
The taxes increased drastically, by 71.12%, to Rs. 5.2 billion as compared to the corresponding period last year.
OGDC’s shares at the bourse closed at Rs 150.47, down by Rs 1.24 with a turnover of 665,600 shares on Thursday.
The oil production posted a 4% year on year decline during this quarter due to the natural exhaustion in major fields like Qadirpur and Nashpa and some technical issues at various wells like Tando Alam and Kunnar, according to Topline Securities.