KARACHI STOCK MARKET NEWS

Pakistan’s biggest listed firm, Oil and Gas Development Co Ltd (OGDCL), reported  a 32.5 percent rise in earnings for the first half of the 2008/09 financial year.Net profit for the six months to Dec.31st  totalled 32.07 billion rupees ($401.5 million), compared with 24.20 billion rupees a year ago. OGDCL, announced an interim cash dividend of 1.75 rupees per share….Earnings per share came at 7.46 rupees, up from 5.58 rupees in the corresponding period last year…. Aaj News

The Karachi Stock market got reamed today following the Supreme Court’s decision to disqualify the stupidest fucking politician in the history of Pakistan and his brother, from contesting in elections. Sharif’s hypocritical bullshit over the last year regarding restoring the judiciary did nothing but cause trouble, riots and create political uncertainty. History has shown his dis-regard for the judicial system during his last term and in the long run we should be thankful for one moron less with his absence. It is hard to judge ( no pun intended) the direction of the market until the dust settles from the fallout of the current decision.

Dividends :  Hub Power Co Ltd (Hubco) on Wednesday said its first half 2008/09 net profit rose 26 percent from a year earlier to 1.69 billion rupees ($21.16 million).Hubco — the country’s second largest private power producer — reported a net profit of 1.34 billion rupees in the same period last year. The firm also announced an interim dividend of 1.35 rupees per share. The result was slightly higher than market expectations… Aaj News

Market Low : 5,571.38   High : 5,951.23

Market Close : 5,580.78 — 294.05 points minus.

 

The Karachi Stock market had a successful week boosted by corporate results and the news of its possible re-inclusion in the MSCI Frontier Index. Successfully breaking 6,000 this week, the market took a breather and witnessed profit taking by Friday’s close. Next week should see the market remain tight with results from Pakistan Telecommunication Company, Oil & Gas Development Company, Pak Oilfields, Hub Power,  and United Bank Limited.

Dividends :  The profit after tax of Habib Bank Limited (HBL) has increased by nearly 55 percent to Rs 15.614 billion translating into an earning per share of Rs 20.47 in the year ended December 31, 2008 as compared to PAT of Rs 10.084 billion and EPS of Rs 13.18 earned in the corresponding period in 2007… Aaj News

DG Khan Cement (DGKC) has announced its results for the first-half of financial year 2009 (1HFY09). The company booked profits of Rs127 million (earnings per share of Rs0.5) versus Rs330 million (EPS of Rs1.3) in 1HFY08, depicting a decline of 61 per cent.Despite a jump of 79 per cent in sales revenue on account of higher local cement prices and cement exports, profits remained under pressure largely due to a significant jump in administrative and financial expenses… The News

News : The committee on CFS agreed to phase out the CFS Mk-II product from the local bourses, it is reliably learnt. The high-level committee constituted by Securities and Exchange Commission of Pakistan (SECP) met here on Saturday and reviewed the CFS Mk-II in its entirety including risk management, eligible securities and margin requirement.The meeting was presided over by the committee head Shehzad Naqvi, CEO of the Royal Bank of Scotland (RBS). The committee representatives from the three stock exchanges, National Clearing Company of Pakistan Limited, Mutual Fund Association of Pakistan (Mufap), Pakistan Banks Association (PBA) and senior securities market professionals/stakeholders attended the meeting… the committee reviewed the CFS Mk-II and agreed to phase out this product with the approval of the apex regulator. The committee will meet again sometime next week to finalise a proposal, which would be sent to the SECP for approval….Aaj News

Insurance companies have been asked to recognise the impairment in valuation of investment as of December 31st, 2008 for the purpose of distribution of dividend. In a circular issued by Insurance Division of the (SECP), insurance companies are allowed to value investment in Available-For-Sale (AFS) category at the purchase price and treat the impairment in valuation, at the end of the year, as temporary for finalisation of accounts. However, the impairment has to be accounted @ 25 percent per quarter in 2009…. Aaj News

 

Rafhan Maize : 400% Cash - EPS : 161.57

National Refinery : EPS : -9.92

Attock Cement : 17.5% Cash - EPS : 9.98

Lucky Cement : EPS : 5.99

MCB Bank : 10% Bonus + 25% Cash - EPS : 24.47

Pakistan State Oil : 50% Cash - EPS : -58.59

ICI Pakistan : 40% Cash - EPS: 14.97

D.G.Khan Cement : EPS : 0.50

Habib Bank Ltd : 20% Bonus + 55% Cash - EPS : 20.47

Pakistan Refinery : EPS : -113

Faysal Bank : 15% Bonus EPS : 2.11

Pakistan Premier Fund : EPS : -6.03

Bank Al Habib Ltd : 12.5% Bonus + 27.5% Cash - EPS : 5.07

Hub Power Co. : 13.5% Cash - EPS : 1.46

Oil & Gas Development Co. Ltd : 17.5% Cash - EPS : 7.46

PTCL : EPS : 1.04

Soneri Bank : 22% Bonus - EPS : 1.70

Sui Northern Gas : EPS : 1.18

Pakistan Oilfields Ltd. : 80% Cash - EPS : 16.34

Arif Habib Securities Ltd : EPS : -5.82

Allied Bank : 10% Bonus + 10% Cash - EPS : 6.43

Attock Refinery : EPS : -8.08

Attock Petroleum : 100% Cash - EPS : 25.49

 

Lucky Cement : 16th Feb.

Muslim Commercial Bank 

Pakistan State Oil Co. : 17th Feb.

ICI Pakistan : 18th Feb.

Fauji Cement Co.

D.G.Khan Cement : 20th Feb.

Habib bank Ltd.

Askari Bank : 21st Feb

Glaxo Smith Kline Pakistan : 23rd Feb.

K.E.S.C

Mari Gas Co.

Arif Habib Investment Management Ltd

Indus Motors : 24th Feb.

Faysal Bank Ltd.

Pakistan Premier Fund Ltd.

Hub Power Co. : 25th Feb.

Bank Al-Habib Ltd

Murree Brewery

Ibrahim Fibres

Sui Northern Gas : 26th Feb.

Attock Petroleum Ltd

Oil & Gas Development Co Ltd.

PTCL

Bosicor Pakistan

Soneri Bank Ltd

Maple Leaf Cement

Attock Refinery Ltd.

Pakistan Oilfields Ltd.3.pm

Arif Habib Securities Ltd 3.30 pm

Arif Habib Ltd : 27th Feb

Arif Habib Bank Ltd. : 28th Feb.(poistponed till further notice )

Jahangir Siddiqui & Co.

The week began at 5,573 and the Karachi stock market dipped down below 5,400 on fears of the accounting process for all companies for their last quarter results. On Friday the index rose 3.5% on the news that the SECP had relaxed the the accounting treatment for equity securities under the International Accounting Standard ( IAS) (see article below) . Now that the issue has been clarified and the relaxation given until Dec.31st 09, there should be a boost in the market in the coming week across the board. Results for next week include MCB, PSO, & ICI Pakistan.

The Securities and Exchange Commission of Pakistan (SECP) has granted relaxation in the accounting treatment for equity securities held by the companies under the head ‘Available for Sale’ as required under International Accounting Standard "Financial Instrument: Recognition and Measurement" (IAS 39)…According to details issued by the SECP, the relaxation is valid till December 31, 2009 and has been granted in the light of representations from various stakeholders including Mutual Funds Association of Pakistan (MUFAP), Insurance Association of Pakistan (IAP), Pakistan Banking Association (PBA), Leasing Association of Pakistan (LAP), Modaraba Association of Pakistan (MAP), Karachi Stock Exchange (KSE) and the corporate sectors….The final decision on this issue was taken by both regulators unanimously and simultaneously so that the uncertainty that had recently been generated on this issue should come to an end as many companies were in the process of finalising their annual accounts and half yearly accounting statements, the SECP said…. Aaj News

The Chairman of the Federal Board of Revenue (FBR) Ahmed Waqar has said that a fund worth Rs75 billion is being set up to bail out Pakistan State Oil (PSO) from the financial crunch….Chairman FBR said that the fund would be constituted by the end of this month, which would help PSO pay its debts and further make payments to refineries… The News

 

 

Another positive week for the Karachi Stock market, opening at 5,377 and closing up at 5,597.  There seems to be a bit more confidence in the market this week and foreign selling is being absorbed reducing in its intensity. In lieu of positive results to be announced in the current result season, the market should continue its upward hike next week. With dips & corrections along the way it could well break 6000 by the end of the following week. MCB, & NRL  are due to announce their results next week.

The Karachi Stock Exchange will remain closed today due to a public holiday. Trading will resume 2moro.

Nishat Mills Ltd: EPS : 7.49

Kot Addu Power Co. : 22.5% Cash  EPS : 3.08

Unilever Pakistan Ltd : 114% Cash  EPS : 149

Nestle Pakistan : 250% Cash  EPS : 34.24

 

 

Nishat Mills Ltd : 2nd Feb.

Kot Addu Power Co. : 4th Feb.

Unilever Pakistan : 6th Feb.

Nestle Pakistan Ltd : 9th Feb.

National Refinery Ltd : 14th Feb.

 

 

After weeks of constant downside and the market being fucked shapeless for one reason or another, this week saw 4 days of consecutive upside. Having sunk to a five year low on Monday, the index recovered and continued to do so for the next four sessions. The result season is about to begin and the market should stay buoyant for the next 2 weeks depending of the results of certain stocks. Fertlizer results have been good and the oil sector is yet to come.

Interest rates were left unchanged at 15% after the meeting on Saturday.