Attock Petroleum Limited, a leading player in the energy sector, has reported a 21 percent decline in its after-tax profit for the quarter ended September 30, 2019.
The company’s financial results, announced and notified to the Pakistan Stock Exchange (PSX) on Wednesday, reveal a significant dip in profitability compared to the corresponding quarter of the previous year.
According to the financial statements, Attock Petroleum Limited recorded an after-tax profit of Rs1.22 billion for the third quarter of 2019, down from Rs1.54 billion in the same period of the previous year. This translates to an earnings per share (EPS) of Rs12.31 for the quarter under review, a notable decrease from Rs15.55 in the corresponding quarter of the last year.
The company’s profit before tax also witnessed a decline, standing at Rs1.75 billion for the period July to September 2019, compared to Rs2.12 billion in the same quarter of the previous year.
Despite the decline in profitability, Attock Petroleum Limited reported growth in total sales, with revenues reaching Rs69.318 billion for the quarter ended September 30, 2019. This marks an increase from Rs67.34 billion recorded in the corresponding period of the previous year. However, the payment of sales tax and other government levies surged to Rs10.11 billion for the quarter under review, compared to Rs9.69 billion in the same period last year.
While the company managed to reduce its operating expenses to Rs557.88 million from Rs689 million, the financial performance of its associated companies took a hit. The associated companies of Attock Petroleum Limited reported a loss of Rs133.6 million for the quarter ended September 30, 2019, in stark contrast to a profit of Rs1.6 million in the same period of the previous year.
The decline in profitability and the contrasting performance of associated companies underscore the challenges faced by Attock Petroleum Limited in navigating the dynamic energy landscape. Factors such as fluctuating global oil prices, regulatory changes, and market competition likely contributed to the company’s financial performance during the period under review.
Despite the subdued financial results for the quarter, Attock Petroleum Limited remains committed to its strategic objectives and continues to explore avenues for sustainable growth in the energy sector. The company’s resilience and adaptability in responding to market dynamics will be crucial in driving future performance and delivering value to its stakeholders.
As stakeholders assess the quarterly results and anticipate the company’s future trajectory, attention will remain focused on Attock Petroleum Limited’s strategies to enhance operational efficiency, mitigate risks, and capitalize on emerging opportunities in the energy sector.
In conclusion, the latest financial results reflect the broader challenges and opportunities facing Attock Petroleum Limited amid a dynamic operating environment. The company’s ability to navigate these challenges while capitalizing on growth prospects will be pivotal in shaping its future performance and sustaining its position in the energy sector.