Oil and Gas Development Company Limited (OGDCL), the country’s largest exploration and production (E&P) firm, posted a consolidated profit of Rs73.02 billion for the half year ended December 31, 2025, compared with Rs82.46 billion in the same period last year, reflecting a decline of more than 11%.
Earnings per share (EPS) came in at Rs16.98 versus Rs19.17 in 1HFY25, according to the company’s latest financial results submitted to the Pakistan Stock Exchange (PSX) on Monday.
The Board of Directors declared an interim cash dividend of Rs4.25 per share (42.5%) for the quarter ended December 31, 2025. This is in addition to the interim dividend of Rs3.5 per share (35%) already paid.
The drop in earnings was primarily driven by lower net sales, which decreased nearly 7% to Rs192.83 billion in 1HFY26 from Rs206.42 billion a year earlier.
Gross profit shrank 19% to Rs103.46 billion, compared with Rs127.41 billion in 1HFY25. As a result, the company’s profit margin narrowed to 54% from 62% in the corresponding period last year.
Finance and other income declined 42% to Rs26.9 billion from Rs46.6 billion, while exploration and prospecting expenses rose 51% to Rs11.9 billion, up from Rs7.9 billion in 1HFY25.
The company’s share of profit from associates increased 11% to Rs5.2 billion, compared with Rs4.6 billion in the same period last year.
Profit before tax stood at Rs110.8 billion, down from Rs155.8 billion in 1HFY25. After recording taxation of Rs37.8 billion, net profit settled at Rs73.02 billion.
OGDCL was incorporated on October 23, 1997 under the Companies Ordinance, 1984. It was formed to carry out the exploration and development of oil and gas resources, including the production and sale of oil and gas and related operations previously undertaken by the Oil and Gas Development Corporation, established in 1961.
