Pakistan Oilfields Limited (POL) announced its FY14 result during the week posting profit after tax of PKR12.9 billion (EPS: PKR54.5) posting a growth of 19%YoY. The result was below market expectations due to higher than estimated amortization charges, primarily due to Manzalai reserve downgrade write-off. The result announcement was also accompanied by a final cash dividend of PKR32.5/share taking full year payout to PKR52.5/share. The notable surge in earnings during FY14 can be attributed to a 23% increase in the topline to Rs35.5 billion on account of 1) a 25%YoY increase in oil production to 6,000bpd and 2) a 6.3%YoY depreciation in average Pak Rupee value against the US Dollar. Analysts maintain BUY stance on POL with a target price of PKR655/share, offering a total return of 29%.