About the Karachi Stock Market Blog Daily updates on the Karachi Stock Market, with news, company dividends and KSE-100 index movements.The rollercoaster of a day trader's dream /nightmare riding the KSE-100 index. More than 750 posts and counting ...
News : The Karachi Stock Exchange on Tuesday informed its members that the collection of Capital Value Tax (CVT) has been withdrawn only on purchase value of shares of listed companies with effect from July 1st, 2009 on the trade/transactions carried out on and after such date as per amendments made in Income Tax Ordinance, 2001 through the Finance Bill, 2009.However, collection of CVT will remain applicable on purchase of Modaraba certificates or any instruments of redeemable capital listed on the registered stock exchanges in Pakistan….On the other hand, the market participants were still confused regarding the collection of FED on brokerage imposed in the budget 2009-10….the new tax will have to be collected from the beginning of the new fiscal year ie July 1st, however, it is still not announced whether the tax would be collected on exchange level or through brokers… Aaj News
News : The International Monetary Fund (IMF), which is to quiz Pakistan’s economic managers, led by Advisor to Prime Minister on Finance, Shaukat Tarin, on July 3, 2009, in Istanbul, has sought detailed information on the amount used by the public fund (NIT)-SEF for interventions in the stock market, their impact, stocks holdings by foreigners of shares listed on the Karachi Stock Exchange (KSE), and status of reforms of broker financing (badla)… Aaj News
The Securities and Exchange Commission of Pakistan (SECP) has suspended the registration of five members of Karachi Stock Exchange (KSE) till the claims against them in the light of the investors’ complaints are ascertained and settled in accordance with law…Following the SECP decision, the Karachi Stock Exchange has also suspended the trading rights of the these five members with immediate effect and until further notice to protect the interests of the investors….The names of the KSE members whose trading rights and registration have been suspended are: Eastern Capital Limited; Prudential Securities Limited; ClikTrade Limited; MKA Securities (Private) Limited; and Capital One Equities Limited…Aaj News
The Karachi Stock market finally broke a 5 session downward spiral to close marginally up at 6,894. It made a high at 6,978, but could not sustain its gains. Foreign selling was at its heaviest for the week with over $8 million worth of shares sold today. It’s possible there could be some pullback next week.
Dividends : Bank of Punjab : EPS : -19.02
News : The Petroleum Ministry and the Oil and Gas Development Company Limited (OGDC) have developed a consensus on $ 3 per million British Thermal Unit (MMBTU) maximum wellhead gas price of Qadirpur gas field. The $ 3 per MMBTU wellhead gas price is calculated at $ 400 per ton high sulphur furnace oil (HSFO), a maximum limit for wellhead gas price discount of Qadirpur gas field.The Petroleum Ministry will move a summary to Economic Co-ordination Committee (ECC) of the Cabinet for formal approval. At present, wellhead gas price of other gas fields in Pakistan ranges between $ 2.4 and $ 4.6 per MMBTU. Following an increase in wellhead gas prices of other gas fields, OGDC had requested the Petroleum Ministry to enhance the wellhead gas price of Qadirpur gas field….Aaj News
The State Bank of Pakistan (SBP) has granted in principle approval to JS Bank Limited, in place of Jahangir Siddiqui and Company Limited, to bid for the acquisition of the entire shareholding of ABN Amro Bank NV in the Royal Bank of Scotland in Pakistan (RBS Pakistan)… In this regard, the directors of JS Bank held an emergency meeting to review the said acquisition opportunity, and concluded that this opportunity presents an excellent strategic fit with long-term growth objectives of JS Bank.To this end, the Board of Directors of the bank authorised the management to submit a binding bid to the Royal Bank of Scotland Group plc… Aaj News
Opening up, the Karachi Stock market made a high of 7,254 and unable to sustain its gains, closed down at 7,125. The market could get a further bashing 2moro being the end of the week.
On Thursday the Karachi Stock market got another bashing down to 7,119 and then recovered to close at 7,202. Market sentiment is weak and the recent trouble in Karachi hasn’t helped. If the market breaks its support level of 7,200 then a further slide to 6,800 is possible. The market will remain closed today on account of a holiday for Labour Day.
Dividends : The Board of Directors of Hub Power Company (HUBCO) witnessed an increase of approximately 50 per cent in its profits earned in the nine month period ended on March 31 against the corresponding period in 2008. Therefore, the company’s bottom line revenues recorded higher at three billion rupees against two billion rupees earned in 2008. Accordingly, earning per share surged to Rs2.56 in the period under review against Rs1.72 in the July-March 2008 period. Increase in earnings was a result of the Pak rupee devaluation, higher tariff profile and generation bonus resulting from higher electricity generation,… The News
Pakistan Telecommunication Company Ltd (PTCL) reported a net profit at Rs7.2 billion for nine months ended March 31, 2009 against Rs6.6 billion losses incurred in the corresponding period last year. The reason behind posting of massive losses last year (2008) was payment of Rs23.2 billion to its outgoing employees, who opted for Voluntary Separation Scheme (VSS). There was no VSS expenditure recorded in the July-March 2009 period and that is why the company accounts turned into profits. “Excluding VSS cost, the profit of the company declined by 15 per cent amid falling revenues, sharp rise in finance cost and decreasing non-operating income in the period under review,” calculated Mustafa Bilwani at JS Research. Net profits translated into earning per share (EPS) of Rs1.42 against Rs1.29 loss per share (LPS) recorded in 2008… The News
Having made a high of 7,549, the KSE-100 index got fucked again and closed down at 7,271. The market has lost its upward steam for the moment and will continue to be shaky until all the trouble settles. The result season is practically over now and PTCL and AHSL wil announce their results 2moro.
Dividends : Jahangir Siddiqui & Co. Ltd (JSCL) reported a Rs 4.093 billion loss in the first quarter of 2009 against the profit of Rs 5.920 billion company earned in the same period of the previous year. The earning per share also turned negative to Rs 5.36 in the quarter under review over Rs 7.91 in the corresponding period of last year,…The huge losses incurred by the company have been attributed to provision for impairment against investment in subsidiaries, associates and joint ventures and that came to Rs 3.967 billion in January-March quarter of current calendar year… Daily Times
National Bank of Pakistan (NBP) has posted a net profit of Rs4.2 billion in the first quarter of the current calendar year 2009. This is eight per cent lower than Rs4.6 billion the bank earned in the corresponding quarter last year.This translated into earning per share (EPS) of Rs4.79 in the period under review against Rs5.16 EPS in the first quarter of 2008….The decline was mainly led by an 11 per cent drop in non interest income as the bank received a one-off income tax refund of Rs988 million from tax authorities last year… The News
News : The State Bank of Pakistan (SBP) has granted approval to Jahangir Siddiqui & Company Limited (JSCL) to conduct due diligence for the acquisition of Royal Bank of Scotland (RBS). After receiving the approval from the central bank on Wednesday, JSCL would now conduct an investigation or audit of the potential investment….With the permission for the due diligence the first step of acquisition has been fulfilled and now the interested parties would evaluate market value of RBS. In the final step they would bid for it, depending on the due diligence report… Daily Times
The KSE-100 index opened up and made a high of 7,674. It then slid downwards and ended the day at 7,344, eroding virtually all its gains from Friday. Volumes were relatively very low at 108.6 million shares traded. Its possible that after some more downside the index could recover slightly 2moro.
Dividends : Pakistan Petroleum Limited (PPL) on Monday announced a 15.24 per cent increase in year-on-year profit for the third quarter (Jan-Mar 2009) on the back of higher price of gas produced from its different wells. PPL, the country’s second largest petroleum production company, is also expected to post higher profit for the full year which ends in June because of the lagging effect of a gas pricing formula linked with international oil price, analysts say….After tax profit of PPL surged to Rs7.195 billion in the Jan-Mar quarter compared to Rs5.678bn in the same period of previous year. Sales jumped over 31pc to Rs15.7bn from last year’s Rs11.9bn…. The News
Lucky Cement registered 52 percent growth in its net profit during the first nine months of current financial year on the back of high sales and export. The company’s net profit increased to Rs 3.072 billion during the period under review against Rs 2.014 billion in the same period of previous year…Earnings per share (eps) rose to Rs 9.50 in July-March of 2008-09 from Rs 7.65 per share in the corresponding period of last year. Profit before tax also jumped to Rs 3.488 billion compared to Rs 1.629 billion in the previous year…. DG Khan Cement posted Rs 321.117 million net profit in the first nine months of the current financial year against Rs 194.069 million in the same period of the previous year, reflecting 65 percent growth. Earnings per share also increased to Rs 1.27 in the period under review over Rs 0.77 in the previous year…. Daily Times
Adamjee Insurance Company Limited registered 400 percent growth in its net profit to Rs 441.44 million in the quarter ended on March 31, 2009 against Rs 88.425 million in the same period of previous year. Earnings per share also grew to Rs 4.32 in the quarter under review over Rs 0.86 in the same quarter of last year… Daily Times
News : Pakistan banks were cut to “neutral” at Bank of America Corp. after helping the nation’s stock index post the world’s fourth-biggest gain this year. Bank of America’s Merrill Lynch unit, citing the outlook for earnings and recent stock gains, lowered its ratings on MCB Bank Ltd. and United Bank Ltd., to “neutral” from “buy.” Allied Bank Ltd. and National Bank of Pakistan were reduced to “underperform” from “neutral.” …. Daily Times
On Friday the KSE-100 index dipped down to a low of 7,235 and then the index recovered to close up at 7,620, a gain of 3.8% . the next upward resistance is 7,900 and the market could well head that way with more results to be announced next week. AICL, PPL, ENGRO & ICI will anounce their results next week amongst several others.
Dividends : Habib Bank Limited (HBL) reported an unconsolidated profit after tax at Rs3.5 billion for the first quarter of current calendar year 2009. This is over 10 per cent higher than Rs3.9 billion profit the Bank declared in the same period last year…The net earnings of the Bank on account of mark-up, non-mark-up and earned interest surged to Rs20.2 billion from Rs15.8 billion in corresponding period in 2008 - witnessing a growth of about 28 per cent on year-on-year basis… The News
News : Fertilizer consumption increased by 104 percent in January-March 2009 with the sharp rise in both urea and DAP sales during the period. According to the latest fertilizer data released by the National Fertilizer Development Centre (NFDC), the overall fertilizer sales has recorded 1.9 million tonnes in Jan-Mar 2009 compared to 1.6 million tonnes last year. Due to low prices of DAP in the market and better crop support prices, offtake in March 2009 surged by a massive 244 percent to 75,000 tonnes from just 22,000 tonnes in March 2008. As a result, offtake during Jan-Mar 2009 rose to 189,000 tonne up 104 percent from 93,000 tonnes in 1Q2008. Urea sales continued to show a positive trend with March 2009 offtake recorded at 464,000 tonnes up 8 percent YoY…. Daily Times
The Karachi Stock market got gangbanged further down to a low of 7,314 and closed at 7,335. The last two days have seen the market correct by nearly 500 points (6.3%). The index could see further downside 2moro.
Dividends : Oil & Gas Development Company (OGDC), the giant oil and gas exploration & production concern, reported a net profit of Rs44.4 billion for nine months ended March 31, 2009. This is over 22 per cent higher profit than Rs36.3 billion the company earned in the corresponding period last year. Accordingly, earning per share (EPS) improved to Rs10.33 from Rs8.44 in the same period in 2008…Exploration and prospecting expenditure of the company fell to Rs4.3 billion in 2009 against Rs5.4 billion in the corresponding period last year, down over 20 per cent year-on-year basis. General and administration expenses were reduced by 11 per cent to Rs765.6 million from Rs860.2 million last year…For the third quarter of current fiscal OGDC posted net earnings of Rs12.6 billion against Rs12.2 billion in the same quarter last year. The earning per share (EpS) for the third quarter was Rs2.93 against Rs2.84 in 2008… The News
NIB Bank has announced a huge jump of 337 per cent in its net profit at Rs400.3 million for the first quarter of current calendar year 2009 on Thursday as compared to Rs91.5 million profits the Bank declared in the same quarter last year. This translated into an Earning per Share (EpS) at Rs0.10 against Rs0.03 EpS recorded in the similar period last year…Mark-up earned by the Bank in under the quarter under review stands at Rs4.7 billion, which is Rs1.3 billion higher than the same quarter of 2008… The News
The KSE-100 index got bashed today with a big correction of 260 points. Heavy selling and profit taking took the index down to a low of 7,525 and then the market recovered to close at 7,574. Support is at 7,500 with the next downside towards 7,200.
Dividends : Pakistan State Oil (PSO), the largest oil marketing and state-owned company with 71.7 per cent market share, averted losses in the third quarter (Jan-March) of the current fiscal year, as it earned a profit after tax of Rs780 million. Earlier, the first two quarters had shown a huge cumulative loss of Rs10 billion. Owing to this, for the nine months, the company posted losses of Rs9.3 billion. On year-on-year basis, the profit for the third quarter at Rs780 million is about 75 per cent lower than Rs3 billion the company earned in the corresponding period last year… The News
News : The State Bank of Pakistan has given the green signal to the country’s two largest banks for commencing due diligence for the acquisition of Royal Bank of Scotland (RBS),..On April 15, after announcement by HBL and MCB, Jahangir Siddiqui and Co (JS) also announced that it was also interested in buying the operations of RBS in Pakistan…"Yes, we have allowed HBL and MCB bank for commencing due diligence for the buying operation of RBS," said Wasimuddin, chief spokesman of SBP…He also confirmed that JS application had also been received, which was being considered… Aaj News
The market made a high of 8,038 and unable to sustain its gains it fell to a low of 7,815, closing down at 7,834. Breaking the 8k index level appears to be a hard nut to crack and it seems the 1% rate cut did not provide the impetus to do it. It’s still possible that good results could take the market to 8,400-500 in the next few days.
Dividends : The profit after tax of Pakistan Oilfields Limited (POL) has declined to Rs 821.818 million in the quarter ended March 31, 2009 as compared to Rs 1,703.017 million earned in the corresponding period in 2008… the company’s earning per share has decreased to Rs 3.47 in the period under review against Rs 7.20 in the same period a year back… Aaj News
Kapco announced its third quarter 2008-09 result, which shows a growth of 9 percent on a year on year basis… The company posted NPAT of Rs 4.17 billion against NPAT of Rs 3.82 billion in the corresponding period last year. Topline rose by 44 percent YoY to reach Rs 53 billion in said period versus Rs 37 billion in the same period last year. The surge in topline is on the back of a weaker Rs against the greenback as Kapco’s tariff is indexed to the Us dollar and also due to a higher amount of electricity generated in the review period… Daily Times
Fauji Cement has posted profit after tax of Rs701.208 million for the nine months of 2008-09. According to financial results of the company dispatched to the Karachi Stock Exchange (KSE) here on Tuesday, the profit before tax improved to Rs976.597 million for the period ending March 2009. Earning per share improved to Rs0.945 during the period under review… Source : The News
The KSE website has still not pulled its finger out and sorted out the daily KSE-100 index graphs !
The Karachi Stock market made a high of 7,977 and closed at 7,902. Shortly after the market closed, the SBP announced a 100bps cut on its discount rate to 14%, the Text of the Governor SBP’s speech on the Monetary Policy statement can be read here… The Nation . The cut in the rate should help the market break through 8k and head towards 8,400-500.
Dividends : Attock Petroleum has earned a record profit after tax of Rs2.21 billion for the nine months of 2008-09 but did not declare dividend. According to financial results of the company dispatched to the Karachi Stock Exchange (KSE) on Monday, the pre-tax profit was also up at Rs3.02 billion for the period ending March 2008. The earning per share surged to Rs38.51 during the period under review compared to Rs28.91 in the same period last year. Sales were also high at Rs45.04 billion over last year’s Rs35.95 billion… Source : The News
United Bank Limited (UBL) announced consolidated profit before tax (PBT) of Rs 4.2 billion for the first quarter of year 2009, nearly 12 percent lower than last year, mainly on account of the recessive conditions in the domestic market and the persistent global slowdown. Profit after tax at Rs 2.8 billion translates into basic Earning per Share (EPS) of Rs 2.72, which is 12 percent lower than in the same period last year… Daily Times
News : Pakistan State Oil (PSO) has taken an initiative towards alternative fuels by launching a pilot project for production of bio-diesel. For this purpose, PSO has developed Jatropha Model Farm at Marshalling Yard, Pipri, Karachi… PSO has selected non-edible plants like Jatropha Curcas for the production of bio-diesel. Jatropha oil has very low sulphur content (0.13 per cent) versus 1 per cent of petro-diesel and it increases soil fertility. The oil extracted from its seeds blends well with petro-diesel because of its unique characteristics… The News
Friday saw the KSE-100 index dip down to a low of 7,524, and then in the second session the index bounced back on the news of $5.28 billion pledged in the FODP meeting in Tokyo. Making a high of 7,910, the market closed at 7,794. The Monetary Policy will be announced on Monday 20th April. A zero to nominal interest rate cut is expected.
The result season will be in full swing from next week with POL, PSO, OGDC & FFC to announce their results amongst several other companies.
Dividends : Attock Cement Pakistan Limited (ACPL) registered phenomenal growth of 194 percent in its net profit in the 1st quarter of 2009 on the back of heavy growth in its sales and gross level margins. Net profit came to Rs317 million in January-March 2009 against Rs108 million in the corresponding period of previous year. Earnings per share (eps) also jumped to Rs 4.41 in the period under review from Rs 1.50 in the same period of previous year… Daily Times
The KSE-100 index corrected down to a low of 7,604 and then recovered to close at 7,807. The direction of the market hangs on how much money we will get in the FOP meeting in Tokyo on Friday and the monetary policy announcement on Monday. There are already various reports from analysts saying that there will be no interest rate cut or a nominal one at best.
Dividends : Shell Pakistan has posted a profit after tax of Rs374.14 million during the quarter of 2008-09. According to financial results reaching Karachi Stock Exchange (KSE) on Wednesday, the pre-tax profit of the company has fallen to Rs42.92 million during the period ending March, 2009. The earning per share has also dropped to Rs5.46 during the period under review against an earning per share of Rs14.05 in the same period last year. Shell said that the fall in profit was mainly due to inventory losses resulting from unfavourable movements in international oil prices. Shell said that it paid a financial cost of Rs185 million during the quarter on the sizeable receivables of Rs5 billion against the government as well as public sector organizations… Source : The News
News : The State Bank of Pakistan on Wednesday announced over 50 percent reduction in minimum capital requirement (MCR) to facilitate the banking sector. This decision has been taken in view of the general global slowdown in growth and capital accumulation by financial institutions and representations from shareholders, the SBP said….According to the circular, the banks will now be required to raise their minimum paid-up capital (free of losses) to Rs 6 billion by December 31, 2009; Rs 7 billion by December 31, 2010; Rs 8 billion by December 31, 2011; Rs 9 billion by December 31, 2012; and Rs 10 billion by December 31, 2013… Aaj News
The KSE-100 index opened up with a gap on the news that MSCI will reclassify the MSCI Pakistan Index as MSCI Frontier Markets Index (see below). Making a high of 6,622, the market closed 4.36% higher.
Dividends : Pakistan Petroleum Ltd : 50% Cash
News : MSCI Inc (NYSE: MXB), a leading provider of investment decision support tools worldwide, including indices and portfolio risk and performance analytics, announced today, following a consultation with the investment community, the reclassification of the MSCI Pakistan Index as MSCI Frontier Markets Index. Some participants to the consultation have positively highlighted the return to normal trading conditions on the Karachi Stock Exchange and the resulting increased liquidity. However, a majority of market participants stressed the need for the Pakistani equity market to function without any trading disruptions for some time as a condition to any potential consideration of the MSCI Pakistan Index for re-inclusion in the MSCI Emerging Markets Index. In addition, the MSCI Pakistan Index no longer meets the size requirements set for the MSCI Emerging Markets Index. Consequently, the MSCI Pakistan Index will be included in the MSCI Frontier Markets Index as of the close of May 29, 2009 to coincide with the May 2009 Semi-Annual Index Review… MSCI Barra
Another day of upside for the Karachi Stock market making a high of 6,286 . The last time the market was at these index levels was on 29th Dec. 08, on its way down. It’s possible that there could be some correction coming this week as the market has risen 515 points in the last 3 sessions (nearly 9%) . The next upward resistance is around 6,450.
Dividends : National Bank of Pakistan : 20% Bonus + 65% Cash - EPS : 17.48
National Bank of Pakistan (NBP) reported on Wednesday an 18.8 percent fall in its 2008 full-year profit which analysts attributed to higher provisioning for bad loans. NBP reported in a statement to the Karachi Stock Exchange (KSE) a net profit of 15.46 billion rupees ($192.6 million) for the full year to Dec. 31, down from 19.03 billion rupees the previous year… Aaj News
Italian oil and gas group Eni aims to double its oil production in Pakistan over the next five to six years from the 56,000 barrels of oil equivalent in 2008, Chief Executive Paolo Scaroni said on Wednesday… Aaj News
Dividends : United Bank Limited’s profit after tax stood at Rs 8.4 billion in 2008, translating into earnings per share of Rs. 8.26…The bank achieved a consolidated profit before tax of Rs 14.1 billion in 2008, 2 percent higher than last year’s profit. Profitability in 2008 was partly impacted by the decision to charge 50 percent of the impairment loss on the equities portfolio amounting to Rs 1.88 billion against this year’s P&L statement, although the State Bank of Pakistan has allowed banks to defer booking the loss till 2009. Without the impairment loss, the bank’s profit before tax would have reached Rs 15.9 billion, 15 percent above last year’s profit… Daily Times
News : The Hubco Narowal Plant will start commercial operation by March 2010…Hubco, one of the largest independent power producer in Pakistan is setting up this combined cycle power plant based on reciprocating engines technology with an investment of about $300 million and having an ISO installed capacity of 225MW at District Narowal, Punjab.The plant will start supplying electricity to national grid from end of March 2010… Daily Times
The Karachi Stock market made a high of 5,924 and closed lower after some profit taking. The index looks like it might struggle its way towards 6200, depending on what further political bullshit transpires.
Dividends : Shell Pakistan has reported a loss after tax of Rs5.164 billion during the first half of 2008-09 compared to profit after tax of Rs1.689 billion in the corresponding period last year. According to the financial results reaching Karachi Stock Exchange (KSE) here on Thursday, the oil marketing company has recorded a pre-tax loss of Rs8.420 billion during the period ending December 31, 2008. Loss per share stood at Rs75.41 during the period under review against an earning per share of Rs24.66 in the same period last year… Source : The News
News : The Petroleum Ministry on Tuesday agreed to increase deemed duty from 7.5 percent to 10 percent for oil refineries with an upper cap at $80 per barrel crude oil price in the global market. According to new proposed formula, oil refineries will not be able to get 10 percent deemed duty if crude oil price exceeds $80 per barrel in international market…it was also decided in a meeting that the government would provide loans to oil refineries to expand their operations according to their capital value. The oil refineries will have to pay these loans after a five-year period. Oil refineries are not currently meeting the international standards even after receiving 7.5 percent deemed duty… Aaj News
(There are no graphs for the last week as the KSE website has changed and its daily index chart is embedded in Flash. If anyone knows of an alternative website, with a daily chart for the KSE-100 index that is easy to save as a png. file , then please leave a comment.)
The week opened at 5951 and dipped down to 5,407 to close at 5,727. Wednesday saw the Karachi Stock market crash, down 5%, on Sharif’s court dismissal and then it recovered by the first half on Friday. The bulk of the result season is over and the next week depends on further political turmoil, if any.
Dividends : Attock Petroleum, marketeer of petroleum products on Friday came out with Rs1.47 billion profit for July-Dec 2008, defying the fallout from a sudden decrease in the international oil prices. The company also announced an interim cash dividend of Rs10 per share for the first half of fiscal 2008-09, which saw profit going up by 35 per cent as compared to the same period of previous year. Interestingly, the profit for the second October-December quarter increased 27 per cent over the same period of previous year despite the fact that it was the worst time for companies to operate as the oil price had plunged and circular debt swelled.
Pak Oilfields Ltd (POL) has posted a profit after tax of Rs1.605 billion for the half-year of 2008-09 and has declared an interim cash dividend of Rs8 per share. According to financial results of the company despatched to the Karachi Stock Exchange on Friday, the pre-tax profit was estimated at Rs1.866 billion for the period ending December 2008. The earning per share has declined Rs6.79 for the period under review… Source : The 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
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
Pakistan Oilfields (POL) announced a final cash dividend at Rs 16 per share i.e. 160 percent for ended June June 30, 2008, KSE announced. The company also declared 20 percent bonus shares for the year…According to financial results for 2007-08, the profit after tax jumped to Rs 8.616 billion in 2007-08 over Rs 5.939 billion in the previous year whereas eps soared to Rs 43.71 in the said year against Rs 30.13 in the previous year.The net sales also spiked to Rs 16.739 billion from Rs 14.239 billion a year before...Daily Times
Foreign selling and margin calls led to the KSE-100 index getting yet another bashing today with a low of 8,999 and closing down at 9,144. The market has been fucked shapeless in the last few sessions with prices on the board that one hasn’t seen for years. Apparently the KSE held an emergency meeting to try and freeze the index at todays close (details below).This measure should stem the rot for the moment.
News : The Pakistani Stock Exchange authorities on Wednesday set a floor of 9,144 points for the Karachi Stock Exchange (KSE) index for Thursday, following heavy losses in recent days, the exchange said. The stock market has fallen for six consecutive sessions since August 20 and has lost 43 percent since hitting a record high of 15,739.28 points on April 21.“The continuous sharp decline in share prices can have implications for the wider financial system,” the board of directors of the KSE said in a statement. “With this in mind, the board decided to place a floor, based on the closing prices of securities on Wednesday,” it said. “The individual security prices will remain free to trade within the normal circuit breaker limits, but not below the floor price level as mentioned,” it said. … Daily Times
Saudi authorities have assured the Pakistan delegation that the Saudi oil facility against deferred payment will be started very soon…"We fully understand it’s not a time of procrastination, it’s time of action," the Saudi minister was quoted as saying during his talks with the Pakistani team members who met him on Wednesday. According to sources, the Saudi minister has assured the Pakistan team that oil facility will be started "as early as possible". The sources believed that the facility is likely to come into effect in the next few days…Aaj News
Trading in Arif Habib Investment Management Ltd. will start from 2moro. The market lot of the company will be 100 shares of Rs.10/- each and the symbol will be AHIML .
The Karachi Stock market fell further today , making a low of 9,741 and closed down at 9,813. Arsehole Nawaz has announced today that he would part ways with the coalition and that his party will sit in the opposition. All he has done in the last 5 months has been confrontational and is holding the system hostage for the sake of one CJ. If Nawaz was an honourable man , one could understand his efforts, but we all know that his plea is pharisaic as seen from his behaviour with the judicial system in the past. What effect the split will have on the market 2moro remains to be seen, probably negative initially, as there is no other good news at the moment.
Rumours are rife that the Govt. will sell Qadirpur, one the countries largest gas fields. The Privatization Commission is due to release some information on the matter soon.
News : The Privatization Commission Board is scheduled to meet on Tuesday to approve the PPP-led government’s aggressive privatization programme for the current fiscal year 2008-09…The significance of the meeting is that the government would announce privatisation status of important public sector enterprises (big-ticket items) such as the Pakistan State Oil (PSO), Pakistan Petroleum Limited (PPL), Oil and Gas Development Company Limited (OGDCL), and the National Investment Trust Limited (NITL)….Qadirpur gas field’s privatisation is also on the cards that would help generate much needed foreign exchange of $3.5 billion for the government…. Daily Times
Foreign selling and margin calls led to the KSE-100 index getting yet another bashing today with a low of 8,999 and closing down at 9,144. The market has been fucked shapeless in the last few sessions with prices on the board that one hasn’t seen for years. Apparently the KSE held an emergency meeting to try and freeze the index at todays close (details below).This measure should stem the rot for the moment.
The Karachi Stock market fell further today , making a low of 9,741 and closed down at 9,813. Arsehole Nawaz has announced today that he would part ways with the coalition and that his party will sit in the opposition. All he has done in the last 5 months has been confrontational and is holding the system hostage for the sake of one CJ. If Nawaz was an honourable man , one could understand his efforts, but we all know that his plea is pharisaic as seen from his behaviour with the judicial system in the past. What effect the split will have on the market 2moro remains to be seen, probably negative initially, as there is no other good news at the moment.
