Karachi May 6 2022: Cnergyico PK Limited recorded net sales of PKR 121.8 billion as compared to PKR 101.3 billion in the same period last year and earned gross profit of PKR 5.0 billion compared to PKR 5.4 billion last year.
The imbalance in the global oil supply & demand situation proved beneficial for the refiners as margins improved, specifically on High Speed Diesel (HSD). Healthier refinery margins along with revision in the marketing margins by the Government improved the overall profitability of the Company, however, the maximum benefit could not be availed due to working capital constraints.
As explained in previous paragraphs, the refinery margins were very strong, however, a significant portion of the refinery’s capacity was not brought into operations due to limited amount of working capital availability. Expenses remained within budget except finance cost, which increased due to upward revision in KIBOR and amortization of deferred tax.
The Company incurred profit after tax of PKR 562 million with basic | diluted earnings per share of Rs. 0.11 and Rs. 0.10 respectively as compared to profit after tax of PKR 2.1 billion with basic | diluted earnings per share of Rs. 0.41 in the same period last year.
During the period, PKR depreciated by 16% in as compare to 9% appreciation in the same period last year which resulted into exchange losses to the entire sector.
“We hope that the Government will take note of the devastating impact of such abrupt PKR fluctuation and will provide a revised mechanism to absorb the exchange losses” says Chief Executive Officer Mr. Amir Abbassciy
Cnergyico Pk Limited was incorporated in Pakistan as a public limited company on 09 January 1995 under the repealed Companies Ordinance, 1984. The Company currently operates two business segments namely Oil Refinery Business and Petroleum Marketing Business. Petroleum Marketing Business was formally launched in 2007.
