Rupees in Millions (unless noted)
201720162015201420132012
Balance Sheet
Shareholders' Equity 102,850 91,581 82,310 78,621 60,643 48,334
Non Current Assets 22,883 68,064 65,559 58,637 57,593 10,469
Current Assets 368,560 274,255 275,749 313,514 224,356 337,796
Total Liabilities 289,593 250,737 258,997 293,530 221,307 299,931
Rupees in Millions (unless noted)
201720162015201420132012
Profit & Loss Account
Gross Sales Revenue 1,096,543 906,204 1,114,411 1,410,095 1,295,783 1,201,166
Net Revenue 878,147 677,967 913,094 1,187,639 1,100,122 1,024,424
Gross Profit 37,199 22,863 22,921 36,824 34,161 34,323
Other Income (including share of
associates' profits)
11,353 13,411 14,314 20,059 6,510 10,154
Marketing & Administrative Expenses 11,301 10,849 10,672 10,480 10,207 9,871
Other Expenses 1,981 1,986 3,513 3,890 3,664 9,272
Operating Profit 34,662 22,826 22,671 41,972 26,230 24,864
Finance Cost 5,923 7,150 11,017 9,544 7,591 11,659
Profit before Tax 29,347 16,289 12,033 32,969 19,210 13,674
Profit after Tax 18,226 10,273 6,936 21,818 12,638 9,056
Earning before Interest,
taxes, depreciation & Amortization
(EBITDA)
36,322 24,464 24,050 43,567 27,960 26,476

Analysis

The Company's after tax profitability was up by 77% in FY 2017 as compared to FY 2016, mainly due to the following:
- Increase in Gross Profit by 65% primarily due to 17% higher volumes coupled with increase in margins of black and white oils.
- Decrease in Finance Cost by 17% on account of reduction in average borrowing rates due to effective and efficient treasury management.
However, the increase in Company's profitablilty was partly offset by the following factors:
- Decrease in other income (including share of profit of associate) by 15% mainly due to lower receipt of interest from IPPs.
- Increase in marketing and administrative expenses by 8% primarily due to various branding activities carried out during the year.
- Increase in taxation by Rs. 5.1 billion primarily due to increase in profit and higher effective tax rate.

ANALYSIS OF VARIATION IN RESULTS REPORTED IN INTERIM REPORTS

  • Qtr 1: PAT increased by Rs. 1.1 bn. vs. same period last year (SPLY) mainly due to after tax inventory gain of Rs. 1.1 bn. Vs. loss of Rs. 8 mn. in Q1 FY 2016, revision in white oil margins and decline in finance cost.
    This increase has been partly offset by provision against doubtful debts and non receipt of late payment interest income on receivables vs. SPLY.
  • Qtr 2: PAT increased by Rs. 2.2 bn. Vs. SPLY mainly due to growth in overall volumes, revision in white oil margins, higher LPI income and reversal of provision against doubtful debts. This increase has been partly offset by higher inventory losses and decline in black oil margins on account of dip in oil prices.
    Moreover, higher finance cost on account of delay in payment from power sector and PIA also affected the bottom line.
  • Qtr 3: The PAT increased by Rs. 6.3 bn. primarily due to after tax inventory gain of Rs. 0.5 bn. as compared to huge after tax inventory losses of Rs. 5 bn. during SPLY due to dip in oil prices. Further, increase in white and black oil margins also contributed positively to the bottom line.
  • Qtr 4: The PAT decreased by Rs. 1.6 bn. in the fourth quarter as compared to SPLY primarily due to decrease in late payment surcharge income from IPPs and PIA, however, this was partially offset by decline in finance cost and improvement in white oil and black oil margins.

Summary of Cash Flow Statement with Analysis

Rupees in Millions
201720162015201420132012
Cash Flow Statement
Net cash (outflow) / inflow
from operating activities
(27,965) (994) (29,574) (62,367) 79,444 (21,327)
Net cash inflow / (outflow)
from investing activities
3,925 4,098 3,490 4,281 (46,107) 5
Net cash inflow / (outflow)
from financing activities
12,812 6,206 (22,619) 63,682 (11,698) 22,737
Cash & cash equivalents
at end of the year
(41,502) (30,274) (39,584) 9,119 3,523 (18,116)

Analysis

The variation in cash flows as compared to FY 2016 is because of the following:

Operating Activities

Cash outflow from operating activities has deteriorated mainly due to the following reasons:
- Increase in stock in trade balances by Rs. 15.5 bn. due to increase in oil prices and higher inventory levels in FY 2017 as compared to FY 2016.
- Increase in trade debts by Rs. 34.4 bn. due to delay in payments by power sector and PIA.

Investing Activities

Cash inflows from investing activities have decreased marginally by Rs 0.2 mn. owing to less dividend received this year as compared to last year.

Financing Activities

Cash flows from financing activities increased on account of higher short term borrowings.