KARACHI: Pakistan’s petroleum product sales increased by 3% year-on-year (YoY) to 1.28 million tons in December 2024, driven by reduced petroleum prices, macroeconomic stability, and a decline in smuggling, experts observed.
Cumulatively, sales for the first half of FY25 reached 8.0 million tons, a 4% YoY increase compared to 7.7 million tons during the same period last year.
Excluding Furnace Oil (FO), December sales stood at 1.2 million tons, reflecting a 7% YoY growth but a 20% month-on-month (MoM) decline. For H1-FY25, Ex-FO sales grew by 8% YoY, reaching 7.7 million tons.
Key Product Insights:
Motor Spirit (MS): Sales declined by 1% YoY and 15% MoM to 566,000 tons in December, attributed to seasonal reductions in economic activity, according to Myesha Sohail, an analyst at Topline Securities.
High-Speed Diesel (HSD): Sales increased 12% YoY but fell 27% MoM to 573,000 tons, with YoY growth driven by price reductions.
Furnace Oil (FO): December sales dropped 48% YoY but rose 12% MoM to 41,000 tons.
Performance of Listed Companies:
Attock Petroleum (APL): Sales fell 14% YoY and 15% MoM to 111,000 tons, primarily due to an 89% YoY and 62% MoM decline in FO sales. APL’s market share rose to 8.71% in MS and 9.48% in HSD, up 75bps and 96bps, respectively.
Pakistan State Oil (PSO): Sales declined 4% YoY and 28% MoM to 572,000 tons. PSO’s market share in HSD and MS fell to 45.99% and 40.54%, respectively, with its overall market share dropping from 51% in November to 45% in December.
Shell Pakistan (SHEL): Sales rose 5% YoY but decreased 8% MoM to 95,000 tons.
HASCOL: Sales surged 59% YoY and 25% MoM to 43,000 tons.
The government has set a Petroleum Development Levy (PDL) collection target of Rs. 1.28 trillion for FY25, of which Rs. 557 billion (43%) was collected in the first half of the fiscal year.
