KARACHI: Oil and Gas Development Company Limited (OGDC) posted earnings per share (EPS) of Rs9.37 in the fourth quarter of FY25, a 15% decline quarter-on-quarter but 6% higher year-on-year. This took full-year EPS to Rs39.5, down 19% from FY24.
The company announced its highest dividend since listing, declaring Rs5 per share for Q4, bringing the full-year payout to Rs15.05 per share. This translates into a payout ratio of 38%, up from 21% last year and marking a six-year high.
Analysts attributed stronger-than-expected quarterly earnings to lower exploration costs and a reduced effective tax rate. Exploration costs fell 40% QoQ to Rs4bn, while annual costs reached Rs18.7bn due to dry wells and seismic activity.
Royalty expenses declined 46% YoY in Q4, while operating expenditures eased 3% to Rs35.2bn on lower sales volumes. Finance and other income surged to Rs17bn in Q4, taking the FY25 total to Rs81.8bn — nearly double last year, supported by interest income on TFCs and exchange gains from rupee depreciation.
