Overall petroleum demand in October was stagnant at 1.66 million tons, depicting a decline of 17 percent year-on-year (YoY).
According to Arif Habib Limited (AHL), the drop was because of higher petroleum prices, lower Furnace Oil-based power generation, and a drop in automobile sales.
Motor spirit (MS) witnessed a fall of 11 percent YoY to settle at 0.68 million tons in October 2022. Similarly, High-Speed Diesel (HSD) volumes shrunk by 15 percent YoY, to arrive at 0.71 million in October. Furnace oil (FO) sales volumes plummeted by 37 percent YoY in October, to clock in at 0.20 million tons.
Meanwhile, petroleum offtake showcased a month-on-month (MoM) growth of 9 percent during October amid mobility across the country post floods, the commencement of sowing for Rabi season, and a decrease in MS and HSD prices. Volumes of MS and HSD reported a jump of 8 percent and 37 percent MoM, respectively. However, FO sales dropped by 33 percent MoM in October.
During 4MFY23, sales of total petroleum products reduced by 22% YoY to 6.15mn tons against 7.85 million tons in the same period last year. Product-wise data showed a decline in all categories; the offtake of MS, HSD, and FO settled at 2.54 million tons, 2.17 million tons, and 1.19 million tons, respectively.
The company-wise analysis depicts that PSO’s offtake displayed a decline of 18 percent YoY in October which was majorly contributed by a plunge in sales of MS, HSD, and FO by 18 percent, 11 percent, and 43 percent YoY, respectively. Similarly, sales of APL and SHEL plummeted by 16 percent and 21 percent YoY, respectively due to falling in sales of MS and HSD. Whereas, HASCOL reported a growth of 46 percent YoY given higher MS and HSD sales.
During 4MFY23, the market share of PSO, APL, and SHEL remained unchanged at 52 percent, 9 percent, and 7 percent YoY, respectively. Meanwhile, HASCOL’s market share in 4MFY23 improved to 1.8 percent, compared to 1.5 percent in the same period last year. However, the market share of other OMCs declined to 29 percent in 4MFY23 compared to 30 percent in 4MFY22.
