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Pakistan State Oil declares Rs4 interim cash dividend

KARACHI — Pakistan State Oil (PSO), the country's largest oil company, has declared a cash dividend of Rs4 per share to its shareholders for the third quarter ended on March 31, 2007. This takes the year to-date payout to Rs10 per share.

The announcement came after the performance review meeting of the PSO board of management. Pervaiz Kausar, BoM chairman, presided over the meeting at company head office.

The board observed that total industry off-takes increased by over 11 per cent during the quarter. This increase is attributable to high sales volumes of furnace oil to the Independent Power Producers.

PSO, which is due to privatise by June this year, also enhanced its market share in black oil category by 6 per cent to over 79 per cent. However, white oil consumption in the country remained subdued due to customer preference to alternate fuels — declining by 4 per cent in comparison with the same period last year. Despite this decline, PSO improved its market presence with motor gasoline increasing from 45 per cent to 46 per cent, diesel from 58 per cent to 60 per cent and kerosene from 61 per cent to 72 per cent.

The company is also leading in providing CNG fuel facility at its extensive retail network across the country. Earnings from this fuel category are increasing and trend for the future seems promising.

The review period saw a declining trend in the international oil prices. The trend, however, is currently reversing again since February 2007.

PSO sales revenue increased to Rs291 billion as compared to Rs236 billion during comparative period last year. Earnings for the quarter were Rs1,014 million as against previous quarter's Rs569 million.