Pakistan Oilfields (POL) announced its 4QFY20 results, reporting unconsolidated EPS of Rs8.56; down 57%YoY, in line with market expectations.
The Company also announced final dividend of Rs30 per share, taking full year payout to Rs50 per share.
Earnings during 4Q declined as revenue of the Company declined by 48%YoY to Rs5.7 billion on the back of 60%YoY decline in Arab light crude oil prices (US$27 per barrel as against US$68 for 4QFY19). Sequentially, revenue declined by 48% amidst 50% decline in oil prices.
Oil production during the quarter under review declined by 22%QoQ as production from Tal block remained muted due to lockdown which caused disruption in refinery operations.
Royalty expense was 10.3% of sales, broadly in line with its previous two quarters trend.
Operating cost declined to US$6.07 per boe, down by 17% from US$7.3 per boe for 3QFY20.
Other income declined by 66%QoQ and 73%YoY due to absence of heavy exchange gains.