Hi-Tech Lubricants posted higher net profit for the quarter ending March 31, while National Refinery Ltd. reported decreased net profit for its lube segment for the nine months that ended March 31, compared to year-earlier results. Both companies are based in Pakistan.
Hi-Tech Lubricants Ltd. reported consolidated net profit of 41.9 million Pakistani rupees (U.S. $260,000) for its fiscal third quarter, jumping up almost 1,600 percent from Rs 2.5 million a year earlier, according to the Lahore, Pakistan-based blender’s financial results released April 28.
Much of the dramatic improvement in net profit stemmed from a large reduction in finance costs and a sizeable decrease in taxation costs. Finance cost accounted for Rs 64.5 million in the quarter, 33 percent less than the Rs 97.2 recorded in the year-earlier quarter. Taxation accounted for Rs 13.7 million for the quarter, 77.3 percent less than the Rs 60.4 million in taxation incurred in the year-earlier period.
Net sales for the distributor of SK Lubricants’ Zic brand of finished lubricants increased to Rs 1.6 billion, up 3 percent.
National Refinery Ltd.
National Refinery Ltd. reported the nine-month net profit for its lube segment – which includes API Group I base oils and waxes – declined more than 23 percent year-on-year.
The lube segment posted profit after tax of 907.4 million Pakistani rupees (U.S. $5.7 million) for the nine-month period that ended March 31, down from Rs 1.2 billion a year earlier, according to the crude oil and petroleum products supplier’s financial statement. NRL is part of Attock Oil Co.
Net sales for the lube segment declined almost 8 percent to Rs 26.5 million for the nine-month period, down from Rs 28.8 million in the same period in 2019.
Karachi, Pakistan-based NRL’s lube segment includes base oils, wax, slack wax, rubber process oil, bitumen and various other petroleum products, according to the company’s website. Its base oil products include high-viscosity index base oils (65, 100, 150, 400 and 500 neutrals and bright stock), mid-viscosity base oils (650 neutral and bright stock) and spindle oil.
According to its website, the company operates a refinery that has a base oil plant, and a second base oil plant that receives feedstock from the company’s fuel refinery. All three facilities are in the same company complex in Karangi.
NRL commissioned a crude oil refinery with its first base oil plant in 1966, with an annual base oil production capacity of 533,400 barrels (about 1,460 barrels per day). A second base oil plant, commissioned in 1985, had an annual base oil production capacity of 700,000 barrels, and then a revamp in June 2008 increased its capacity to 805,000 barrels (2,200 b/d).