Karachi: Pursuant to the notification from the Ministry of Petroleum & Natural Resources (MPNR), Sheikh Imran-Ul-Haque has taken over the charge of Managing Director & CEO at Pakistan State Oil Company Limited (PSOCL) on Tuesday.
The newly appointed Managing Director & CEO of PSO, Sheikh Imran-Ul-Haque reviewed and approved the performance of the Company for the Financial Year 2014-15 (FY2015) ended June 30, 2015by exercising the powers and functions of the Board under Section 6(4) of the Marketing of Petroleum Products (Federal Control) Act, 1974 that were conferred upon the Managing Director via an earlier notification issued by the MNPR.
In the financial year (FY) under review, PSO continued to dominate the market with its share in the Black Oil and White Oil segments standing at 66.6% and 49.8% respectively, thereby contributing to an overall market share of 56.8%. The Company’s sale volume of Motor Gasoline grew by 18.5% in FY 2015 over the same period last year due to upsurge in demand of Mogas due to fall in Mogas prices and shortage of CNG. Additionally, HSD sales also witnessed an increase of 0.9% over SPLY despite the stiff competition faced in the industry.
During the year, the Company’s profitability has been adversely affected by the sharp decline of 46% in the OPEC basket price of crude oil, USD 109 per barrel in July 2014 to USD 59 per barrel in June 2015. This significant decline in crude oil prices together with drop in black oil volumes by 12% resulted in a 21% reduction in the sales turnover to Rs. 1,114 billion as compared to Rs. 1,410 billion in FY2014. Similarly, after tax profitability has also declined to Rs. 6.9 billion as compared to Rs. 21.8 billion in FY2014 due to inventory losses on account of sharp fall in crude prices, increase in finance cost due to prevailing circular debt crisis and less receipt of interest from power sector.
A final cash dividend of Rs. 4 per share (equivalent to 40%) was declared in addition to the earlier interim cash dividends of Rs. 6 per share (equivalent to 60%). The total cash dividend for the year stands at Rs. 10 per share.
The Managing Director expressed gratitude to PSO’s shareholders, customers and stakeholders for their continual trust and confidence in the Company and its management.