JS Securities Limited - JS Research.

Karachi -- June 03, 2021 (PPI-OT)

POL sales reaching pre-corona levels

The 1.69mn tons of POL products sold during May-2021 has taken total sales for 11MFY21 to 17.45mn tons, reflecting an 18% increase over the 14.80mn tons sold during the same period last year.

We highlight here that POL sales so far during 2HFY20 - particularly February to May - remained visibly depressed in the backdrop of the strict lockdowns. Hence, the growth figures we see today carry a low base bias and should ideally not be cause for celebration. In fact, volumetric sales of petroleum products have barely reverted to the pre-corona levels of FY19; there is still a long way to go before they reach the pre-economic stabilization levels of FY18, let alone the highs of FY17.

During the fiscal year so far, all major petroleum products have seen double digit growth: sales of...