KARACHI: The oil marketing companies (OMC) sector reported sales of 1.28 million tons in December 2024, reflecting a 3% year-on-year (YoY) increase but a sharp 19% decline compared to November, attributed to seasonal fluctuations, according to Maaz Azam, Research Head at Optimus Capital Management.
Thank you for reading this post, don't forget to subscribe!In the first half of FY2024-25 (1HFY25), OMC sales rose by 4% YoY to 8.03 million tons, driven by a crackdown on smuggled Iranian fuel and significant price cuts for petrol and diesel. Notably, November 2024 saw petroleum sales soar to a 25-month high of 1.58 million tons.
For calendar year 2024 (CY24), total petroleum sales reached 15.62 million tons, reflecting a modest 2% YoY growth despite challenges like fluctuating oil prices, policy shifts, and macroeconomic instability.
Fuel-Wise Trends:
Motor Spirit (MS): December sales stood at 0.57 million tons, down 15% month-on-month (MoM) but nearly flat YoY. For 1HFY25, MS sales rose by 5% YoY to 3.75 million tons.
High-Speed Diesel (HSD): December volumes climbed 12% YoY to 0.57 million tons but dropped 27% MoM. For 1HFY25, HSD sales grew by 10% YoY to 3.46 million tons.
Furnace Oil: December sales fell by 48% YoY and 12% MoM to 0.04 million tons. For 1HFY25, volumes plunged 38% YoY, reflecting a continued decline in demand.
Company-Wise Performance:
Pakistan State Oil (PSO): December sales increased 4% YoY to 0.57 million tons but fell 28% MoM. For 1HFY25, PSO sales declined by 4% YoY to 3.69 million tons.
Attock Petroleum Limited (APL): December sales dropped 14% YoY and MoM, with 1HFY25 sales down 11% YoY to 0.69 million tons.
The December decline underscores seasonal variations, while overall 1HFY25 growth highlights the impact of regulatory efforts and price adjustments.
Story by Usman Hanif
