Attock Petroleum’s Profit Drops 34% in First Half of FY25 to Rs. 5.12 Billion

Attock Petroleum Limited (PSX: APL) announced the financial result for 1HFY25, whereby the company has posted a net profit of Rs. 5,123 million (EPS: Rs. 41.18) against Rs. 7,800 million (EPS: Rs. 62.69) in 1HFY24, down 34 percent YoY. During 2QFY25, the bottom line settled at Rs. 2,739 million (EPS: Rs. 22.01), up 8 percent YoY. Alongside the result, the company announced an interim cash dividend of Rs. 12.50/share in 2QFY25 (Rs. 10.00 in 2QFY24). Net sales during 1HFY25 declined by 15 percent YoY, clocking in at Rs. 232 billion, which is owed to the lower average retail price of petroleum products, and a reduction in MS and FO offtake by 2 percent and 60 percent YoY, respectively. On a quarterly basis, the topline settled at Rs. 119 billion, down 12 percent YoY amid a fall in MS and HSD prices coupled with a decline in MS and FO dispatches by 5 percent and 89 percent YoY, respectively. Meanwhile, HSD sales improved by 6 percent YoY. Gross margins of the company reduced by 144bps YoY to 3.48 percent in 1 HFY25. On the other hand, the gross margins in 2QFY25 arrived at 3.4 percent vis-à-vis 2.3 percent in SPLY owed to inventory gains during the quarter. The operating expenses during 1HFY25 increased by 7 percent YoY, arriving at Rs. 4,130 million due to higher depreciation charges. Finance income in 1HFY25 depicted a decrease of 8 percent YoY to Rs. 4,058 million on the back of a reduction in income from cash and cash balances. Finance cost increased by 29 percent YoY to Rs. 997 million in 1HFY25 given a higher mark-up charged on late payments during the period. The company recorded effective taxation at 34.73 percent in 2QFY25 vis-à-vis 36.23 percent in 2QFY24.