IGI Securities Limited - Day Break.

Karachi -- June 11, 2019 (PPI-OT)

Oil and Gas Marketing Companies - May-19: Volumes contract by 31%YoY as recent price hikes and economic slowdown take a toll MS/HSD sales

Industry volumes for oil marketing companies for the month of May-19 witnessed a decline of 31%YoY to 1.68mn ton bringing industry volumes for 11MFY19 to 16.96mn ton down by 25%YoY. Furnace Oil (FO)/ High Speed Diesel (HSD)/ Motor Spirit (MS) sales registered drop of 66%/21%/5%YoY during May-19,

MS sales dropped by 5%YoY in May-19, while on sequential basis, volumes are down by 11%MoM to 0.60mn ton likely on the back of lower demand due to price hike. For 11MFY19, MS volumes are up by +2%YoY to 6.80mn ton. HSD sales dropped down by 21%YoY to 0.71mn ton in May-19, while on monthly basis volumes are up by +9%MoM. The...