APL Ful Final

8/12/2019 APL Ful Final

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ATTOCK PETROLEUM LIMITED

ATTOCK PETROLEUM LIMITED

INTRODUCTION

Attock Petroleum Limited (APL) is an associate company of the Attock Oil Group of

Companies, which is the only fully vertically interated Group in the Oil ! Gas sector of

Pakistan involved in "#ploration ! Production, $efinin ! %arketin& APL's corporate

head office is reistered in Islamaad&

Our Vision

o ecome a world class, professionally manaed, fully interated, customer focused, Oil

%arketin Company, offerin value added *uality and environment friendly products and

services to its customers in Pakistan and eyond&

Our Mission

o continuously provide *uality and environment friendly petroleum products and related

services to industrial, commercial and retail consumers, and e#ceedin their e#pectations

throuh reliaility, economy and *uality of products and services& +e are committed to

enefitin the community and ensurin the creation of a safe, responsile and innovative

environment eared to client satisfaction, end user ratification, employees' motivation

and shareholders value&


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AUTHORIZE CAPITAL

DEFINITATION OF AUTHORIZE CAPITAL

he authori-ed capital of acompany(sometimes referred to as the authori-ed share

capital or the nominal capital) is the ma#imum amount of share capitalthat the

company is authori-ed y its constitutional documentsto issue to shareholders&

he money made y a company from the sale of authori-ed shares of common and

preferred stock& It is measured y multiplyin the numer of authori-ed shares y their

par value&

VALUE OF AUTHORIZED CAPITAL OF COMPANY

Value in 200

75,000,000 ordinary shares of Rs 10 each

Value in 200!


Value in 200"

750,000000 ordinary shares of Rs 10 each

Value in 200#


I$$UED CAPITAL%Issued capital is the value of the shares issued to shareholders& his means the nominal

value of the shares rather than their actual worth& A company may increase its issued

capital y allottin more shares, ut only up to the ma#imum allowed y its authori-ed

capital (i&e& a company.s issued share capital cannot e#ceed its authori-ed share capital)&

/
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$U&$CRI&ED CAPITAL%

0uscried share Capital is nothin ut the share Capital which is issued to the eneralpulic& It is the amount of capital raised y issuin remainin shares to the eneral pulic

after issuance to promoters, vendors and shareholders&

PAID UP CAPITAL%

Paid1up capital is that part of the suscried capital that is collected y the company as a

part payment aainst call up amount& he due part will e collected y the company in

the immediate future&

O$

It is the issued capital which has een fully or partly paid1up y the shareholders&

CAPITAL RAI$IN' TREND$ FROM 200#(200%

Accordin to the aove information) i* is +een anal,-e. */a* */e o1an, /as sa1e

*ren.s in raisin3 ai*al 4ro1 200#(200!56/ereas in 200 */ere is a risin3 *ren. in

issuane o4 s/ares5 Co1an, is in a s*a+le 3ro7in3 on.i*ion5 2espite the stiff

competition, APL manaed to increase its market share in white oil from /&3 durin

the last year to /&453 durin the current year&

RECENT INVE$TMENT$ REVIE6%

he Oil %arketin Companies (O%Cs) also carried the urden of diesel susidy throuh

Price 2ifferential Claim (P2C) on hih speed diesel which increased from $s 4&/ per

liter in 6une /775 to $s 84&78 per liter in 6une /779& As a conse*uence, the companies

faced li*uidity prolems due to pilin up of its workin capital on account of P2C

$/are Cai*al 200 200! 200" 200#

Issue.8$u+sri+e.8Pai.

u ai*al

90)000)000 900)000)000 900)000)000 900)000)000

8


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receivale from the Government of Pakistan (GOP)&he successful launch of the new

arranements for e#ports to Afhanistan has improved profitaility of the company

despite ma:or loistic difficulties& he company is also facilitatin e#port of naphtha to

the %iddle "ast, ;ar "ast and 0outh Asia& 0use*uent to the year1end, the overnmenthas s*uee-ed O%Cs marin on reulated products, which will affect the profitaility of

the O%Cs and investment plans& APL is not a det1financed company< instead it relies on

e*uity financin&

COMPANY:$ INVE$TMENT TREND$ FROM 200#(200%

200#%

LON' TERM INVE$TMENT$

APL had commitment for lon term investment in (===,899) shares of >ational $efinery

Limited $s& /84&4= million i1e& the whole amount of advance was paid at the end of the

year to et the ownership of the shares&

$HORT TERM INVE$TMENT$

here was no trend of short term investment in /774 like those had een in practise in

previous years in the form of ;C.s&

200"%

LON' TERM INVE$TMENT$

APL has invested in the fully paid ordinary shares of >$L and Attock Information

echnoloy 0ervices Private Limited of $s& 7 each&

>$L ===,899 shares

AI0L ?47,777 shares

200!

?


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LON'TERM INVE$TMENT$

hereare no lon term investments made y APL in the current year due to the sameamount of capital from last three years and ecause of the fact that they have done a hue

invested in >$L and AI0 I> /77=&

$HORT TERM INVE$TMENT$

APL is maintainin its short term investments in /775 in the form of income

funds&

A%@ Income ;und (7/ thousand units at a cost of $s& 77,777 thousands)

60 Income ;und (9 thousand units at a cost of $s& 77,777 thousands)

;urther, another milestone was achieved y commissionin first international retail

outlet at 6alalaad, Afhanistan in >ovemer /775&

200

Company has invested $s& 895,/?= million in associated companies durin the

year&

APL continued its previous year short term investment in A%@ Plus Income ;und

with ,9 (hiher than in /775) thousand units at a cost of $s&/77,777 thousands&

60 Income ;und with ,7=? (hiher than in /775) thousand units at a cost of $s&

77,777 thousands&

o strenthen e#istin network of retail outlets, 8/ pumps were commissioned

durin the year rinin the total numer of operational petrol pumps to /7 as on

6une 87, /779& he company's investment in these pumps stands at $s& /98

million& In addition, 4? retail outlets are currently under construction and an

additional =? are at different staes of securin the necessary licenses&

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DEFINITATION OF RETAINED EARNI'

In accountin, retained earnins refer to the portion of net incomewhich is retained y

the corporation rather than distriuted to its owners as dividends& 0imilarly, if the

corporation makes a loss, then that loss is retained and called variously retained losses,

accumulated losses or accumulated deficit& $etained earnins and losses are cumulative

from year to year with losses offsettin earnins&

O$

$etained earnins are reported in the shareholders' e*uitysection of thealance sheet&

Companies with net accumulated losses may refer to neative shareholders' e*uity as a

shareholders' deficit& A complete report of the retained earnins or retained losses is

presented in the 0tatement of retained earninsor 0tatement of retained losses&

RETAINED EARNIN'$ CALCULATION

$etained earnins are calculated simply with the followin e*uation

VALUE$ IN YEAR 200

RUPEE$ ;0000) 200! 8,78=,/8

;inal dividend B ?73 relatin to (4=7,777)

year ended 6une 87, /775

=
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Issue of onus shares (97,777)

Profit for the year ended 6une 87, /779 /,=?,44/

ransferred to special reserve y

associated companies (84,/=9)

&alane as a* =une >0) 200 #)002)#!!

VALUE$ IN YEAR 200!

RUPEE$ ;0000) 200! >)0>")2?>

VALUE$ IN YEAR 200"

RUPEE$ ;0000) 200#1 as previously reported =8,8

Chane in accountin policy for investment in

associates (?=)

alance as at 6une 87, /774 1 restated =8,794

Profit for the year ,8/,=7=

ransfer to special reserve y an associated company (8,79/)

;inal dividend B 473 relatin to /77?1/774 (/77,777)

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Interim dividend B ?73 relatin to /7741/77= (=7,777)

&alane as a* =une >0) 200" @)">2)"0?

VALUE$ IN YEAR 200#%

RUPEE$

alance as at 6une 87, /77? 1 as previously reported /4/,=9,7

Chane in accountin policy for dividend /7,777,777

alance as at 6une 87, /77? 1 restated 85/,=9,7

;inal dividend B ?73 relatin to /7781/77? (/7,777,777)

Issue of onus shares (77,777,777)Profit for the year ?=7, ??9, =

&alane as a* =une >0) 200# "@>)@>0)!

TREND$ IN RETAINED EARNI'

$etained earnins refer to the portion of net incomewhich is retained y the corporation

rather than distriuted to its owners as dividends&akin /774 as a ase year there is an increase of $s& D7?59// in year /77=, $s&

/?/8=/// in /775 and $s& ?89??=//D in /779 which shows that the retained

earnins increased y /==D 3 in /77=, D?4D3D in /775 and D94&3DD in /779& he

reason for increase in retained earnins is that the trend of net profit is increasin year to

year& "ven there is increase in dividend in each year e#cept in /775 ut still there is

increase in retained earnin due to increase in net income&

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9/23

If we compare retained earnin on year to year asis then, D/==3D is increase in /77= as

compare to /774& DD94& is increase in retained earnin in /775 as compare to /77=and

DD=?&5 3 is increase in /779 as compare to /775&&his shows that there is hih increase

in retained earnin in /77= as compare to previous year& here is increase in /775 ut

that is not as hih as it was in /7741/77=&0imilarly,there is increase in retained earnin in

/779 ut less then previous year /775 & this show there is increase in retained earnin utkeep on decreasin as compare to previous years and that is due to increase in dividends

amount&

EARNIN' PER $HAREE

"arnin per share is ased on earnins after preferred dividends i&e&, on the net income

availale to common shareholders&

Earnin3 er s/are Ne* Ino1e

Co11on s/ares ou*s*an.in3

"arnin per share (/774) F ?=7?79777 ?7777777

F $s&4

"arnin per share (/77=) F 8/=7=777

?7777777

F $s8?&9

"arnin per share (/775) F 5/9=7777

?9777777

F $s8=&7

"arnin per share (/779) F //=?44777

?9777777

F $s44&78

TREND$ IN EARNIN' PER $HARE


10/23

+e are takin /774 as a ase year& here is an increase /8&8 times in /77=, a decrease of

&/ times in /775 and an increase of &7/ times in /779 which shows that earnin per

share increased y 87/&? 3, decreased y 8/&93 in /775 and increased y ?55& 3 in

/779& here is an increase in net income of the shareholders every year so "P0 increases&

EARNING PER SHARE

0

20

40

60

2005 2006 2007 2008

YEARS

Rs EARNING PER

SHARE

PRICE PER EARNIN' RATIO%

he priceearnin ratio shows how much investors are willin to pay per dollar of

reported profit&

Prie er earnin3 ra*io Prie er s/are

Earnin3 er s/are

Price per earnin (/774) F 7

&4

F 7&9=9 times

Price per earnin (/77=) F 7

8?&9

F 7&/95 timesPrice per earnin (/775) F 7

8=&7

F 7&/55 times

Price per earnin (/779) F 7

44&78

F 7&9 times

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11/23

TREND$ IN PRICE PER EARNIN'

+e are takin /774 as a ase year& here is an decrease of 7&49 times in /77=, a

decrease of 7&7 times in /775 and an increase of 7&7= times in /779 which shows that

price per share decreased y 88 3 in /77=, decreased y 8/ 3 in /775 and increased y

/ 3 in /779&here is an increase in "P0 of the shareholders every year so P"

decreases&

Price per Earning

0

0.20.4

0.60.8

1

2005 2006 2007 2008

Years

Times

Price per Earning

CA$H FLO6 PER $HARE

Cas/ 4lo7 er s/are Ne* Ino1e 8 Dereia*ion

Co11on s/ares ou*s*an.in3

Cash flow per share (/774) F ?=7?79777 H 8/97777

?7777777

F $s/&88

Cash flow per share (/77=) F 8/=7777 H 44594777

?7777777

F $s?&95=

Cash flow per share (/775) F 5/9=7777 H =8?/9777

?9777777

F $s?&//

Cash flow per share (/779) F /=?44777 H 5595777

?9777777

F $s5&


12/23

TREND$ IN CA$H FLO6 PER $HARE

+e are takin /774 as a ase year& here is a decrease of 5&?85 times in /77=, an

increase of 7&7?= times in /775 and an increase of /& times in /779 which shows that

cash flow per share decreased y 8&= 3, increased y 8&3 in /775 and increased y

45&5 3 in /779& here is an increase in net income and depreciation of the shareholders

every year so C;P0 increases&

Cash f!" per share

0

5

10

15

2005 2006 2007 2008

Years

Rs Cash f!" per share

PRICE PER CA$H FLO6%

he pricecash flow shows how much investor is willin to pay per dollar of cash flow&

Prie er as/ 4lo7 Prie er s/are

Cas/ 4lo7 er s/are

Price per cash flow (/774) F 7

/&88

F 7&9/ times

Price per cash flow (/77=) F 7

?&95=

F /&747 times


?&//

/


13/23

F /&78 times


5&

F &?7= times

TREND$ IN PRICE PER CA$H FLO6

+e are takin /774 as a ase year& here is an increase &/8 times in /77=, a decrease of7&7 times in /775 and an decrease of 7&=/ times in /779 which shows that price per cash

flow increased y /4/&? 3, decreased y /47&3 in /775 and decreased y 58 3 in

/779& here is an increase from /77=1/775 ut suddenly due to increase in cash flow per

share so price per cash flow decreases&

Price per Cash f!"

0

0.5

1

1.5

2

2.5

2005 2006 2007 2008

Years

Times

Price per Cash f!"

&OOK VALUE PER $HARE%

he ook value is a record of the past, showin the cumulative amount that stockholders

have invested, either directly y purchasin newly issued shares or indirectly throuh

retain earnins&

&ooB alue er s/are To*al Co11on Eui*,

Co11on s/ares Ou*s*an.in3ook value per share (/774) F 78794777

?7777777

F $s/4&8/

ook value per share (/77=) F /7?4=777

?7777777

F $s4&?

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14/23

ook value per share (/775) F 44849?777

?9777777

F $s4&88

ook value per share (/779) F 878=/8777

?9777777

F $s=8&/4=TREND$ IN &OOK VALUE PER $HARE

+e are takin /774 as a ase year& here is an increase /4&9/ times in /77=, an increase

of =?& times in /775 and a decrease of 4/&79 times in /779 which shows that ook

value per share increased y /7& 3, increased y ?44&?3 in /775 and decreased y

/?&9 3 in /779 as compared to /774& here is an increase in total common e*uity of the

shareholders from /7741/775 which results in increase in ook value per share and

decreases in /779&

#!!$ %a&e per share

0

50

100

150

2005 2006 2007 2008

Years

Rs #!!$ %a&e per share

MarBe* *o +ooB ra*io MarBe* rie er s/are

&ooB alue er s/are

%arket to ook ratio (/774) F 4=

/4&8/

F//&?5 times

%arket to ook ratio (/77=) F 454

4&?

F&/? times

%arket to ook ratio (/775) F 47

?


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4&88

F4& times

%arket to ook ratio (/779) F 87/

=8&/4=

F?&55 times

TREND$ IN &OOK VALUE PER $HARE+e are takin /774 as a ase year& here is a decrease &/? times in /77=, a decrease of

=&8 times in /775 and an decrease of 7&8? times in /779 which shows that market price

per share decreased y 47&7 3, decreased y //&53 in /775 and decreased y /&// 3 in

/779 as compared to /774& here is an increase in /774 and decrease in /77=1/775 and

suddenly increased in /779&

'ar$e( price per share

0

5

10

15

20

25

2005 2006 2007 2008

Years

Times

'ar$e( price per

share

RETURN ON COMMON EUITY%

he ratio of net income to total common e*uity measures the return on common e*uity ($O")

after ta#es and interest&

Re*urn on Co11on Eui*, Ne* Ino1e aaila+le *o Co11on $*oB /ol.ers @00

Co11on Eui*,

$eturn on common e*uity (/774) F ?=7?79777 77

F ?4&?? 3

$eturn on common e*uity (/77=) F 8/=7=777 77

/7?4=777

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16/23

F =9&75 3

$eturn on common e*uity (/775) F 5/9=7=777 77

44849?777

F 8&// 3

$eturn on common e*uity (/779) F /=?44/777 77

878=/8777 F 9=& 3

TREND$ IN RETURN ON COMMON EUITY

+e are takin /774 as a ase year& here is an increase of //&=8 3 in /77=, a decrease of

8=&94 3 in /775 and an increase of 44&553 in /779 which shows that return on common

e*uity increased y ?&97 3, decreased y =9 3 in /775 and increased y &?8 3 in

/779& here is a decrease in /775 ecause there is a decrease in net income of the

shareholders& In all other years there is an increase in the return on common e*uity

ecause the net income is increasin&

R)E

0

20

40

60

80

100

2005 2006 2007 2008

Years

% R)E

RE$ERVE$J$eserve means an account with a credit alance, often a component of shareholders'

e*uity, ut more often a liaility or an asset contra&K

T,es o4 Reseres

Oera*in3 resere ;OGM resere) or 7orBin3 ai*al resere

APL Ful Final

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