OGDC reports 24% drop in nine-month profit

KARACHI: Oil and Gas Development Company Limited (OGDC) reported a net profit of Rs129.6 billion (EPS: Rs30.13) for the nine months ended March 31, 2025 (9MFY25), down 24 per cent year-on-year (YoY), amid falling oil prices and lower production. The company declared a third interim cash dividend of Rs3 per share, taking the 9MFY25 payout to Rs10.05 per share.

Revenue during the period declined 11 per cent YoY to Rs310.9 billion, primarily due to a 4.0 per cent and 8.0 per cent YoY drop in oil and gas production, respectively, along with a 10 per cent decline in oil prices and currency depreciation. In 3QFY25, topline dropped 7 per cent YoY to Rs104.5 billion.

Exploration costs surged 73 per cent YoY to Rs17.4 billion in 9MFY25, driven by a dry well (Chak 202-2) and increased seismic activity. Other income rose 45 per cent YoY to Rs64.7 billion.

The company’s cash reserves declined to Rs203 billion in March from Rs263 billion in December, while trade debts rose to Rs620 billion. The effective tax rate eased to 30 per cent in 3QFY25 from 41 per cent in the same period last year.