OGDC records Rs35.25 billion profit in 2QFY22

KARACHI: The profit after tax of Oil & Gas Development Company (OGDC) showed a growth of 87 per cent to Rs35.25 billion translating into the earnings per share (EPS) of Rs8.22 during the second quarter of fiscal year 2022.

The company recorded a profit of Rs18.82 billion (EPS: Rs4.4) during the second quarter last year.

The company also announced an interim dividend of Rs2/share, taking the full year payout to Rs3.75.

The revenue of the company recorded an increase of 46 per cent on a year-on-year basis to clock in at Rs79.6 billion, mainly due to sharp increase in the international oil prices which were up 83 per cent, better well-head gas prices and rupee devaluation. The rebound in the international crude oil prices diluted the impact of decline in hydro-carbon profile.

The OGDC booked other income of Rs10.3 billion during the period under review, which is significantly higher than last year, likely due to exchange gain on foreign currency deposits amid rupee devaluation.

Last year, the company booked an exchange loss during the same period.

The higher other income diluted the impact of increase in exploratory expenses, which were up 103 per cent to Rs4.6 billion, courtesy of higher dry wells.

During the first half of fiscal year 2022, the company posted the earnings growth of 63 per cent on a year-on-year basis to Rs68.88 billion, mainly attributed to higher earnings from better energy and higher other income amid exchange gain on foreign deposits versus exchange loss booked last year.