Karachi: Despite higher sales, Attock Refinery Limited (ATRL) subsidiary of Attock Oil Company Limited saw its profit-after-tax (PAT) drop over 37 percent, clocking in at Rs 5.26 billion in 2QFY24 on consolidated basis for period ended December 31, 2023. In same period last year, ATRL saw PAT of Rs 8.39 billion.

According to notice to Pakistan Stock Exchange on Tuesday, board of directors met on February 5 to review company’s financial and operational performance. BoD announced an interim cash dividend of Rs 2.50 per share i.e. 25 percent for six-month period ending December 31, 2023.

Earnings per share were recorded at Rs 49.32 in 2QFY24 as compared to EPS of Rs 78.70 in same period last year (SPLY). Net sales rose to Rs 98.07 billion compared to Rs 89.87 billion in SPLY, an increase of over 9 percent. Attock Refinery’s earnings up 64 percent in 1QFY24

However, despite higher sales, ATRL saw its gross profit dwindle to Rs 4.18 billion in 2QFY24 as compared to Rs 10.96 billion in SPLY, decline of 62 percent. Resultantly, company saw its profit margin shrink to 4.27 percent in 2QFY24 as compared to 12.2 percent in SPLY.

Decrease comes on account of high cost of sales, which jumped to Rs 93.88 billion in 2QFY24 as compared to Rs 78.91 billion in SPLY, an increase of 19 percent YoY. On consolidated basis, ‘other income’ also increased 134 percent to Rs 4.24 billion in 2QFY24, compared to Rs 1.81 billion in SPLY.

Published in The Daily National Courier, February, 07 2024

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