Page 117 - Pakistan Oilfield Limited - Annual Report 2022

115
Annual Report 2022
DuPont Analysis

Return on
Equity
51%

Return on Assets Net Pro t
Equity Turnover Margin
2.31 44% 50%
Times

ot
T
Total Total Net N et
et
Net
al
N
e
al
Asse
t
s
Equity Assets s Sales In com e
S
Income
51,063 118,054 51,945 25,935
Rs in Million Rs in Million Rs in Million Rs in Million
2017 2018 2019 2020 2021 2022
Net Profit Margin 35.48% 34.85% 38.64% 44.82% 37.13% 49.93%
Asset Turnover 0.47 0.47 0.54 0.40 0.38 0.44
Equity Multiplier 1.83 2.14 2.14 2.27 2.40 2.31
Return on Equity 30.73% 34.74% 44.32% 40.67% 34.00% 50.79%

Operating efficiency Equity multiplier

Operating efficiency of the company measured Equity multiplier has decrease due to increase in
in terms of profit margins has shown increasing assets as compared to previous year.
trends as net profit has increased by 93.8%
due to increase international crude oil prices Return on Equity
and increase exchange rates and higher foreign
currency balances. POL has posted increasing Return on Equity
for the FY22, ROE has increased to 50.79 %
Asset turnover as against 34.00% in the previous year. This is
mainly because of an increase in international
Asset turnover increased from previous years due crude oil prices and higher other income.
to increase in sales as a result of higher crude oil
prices and other income.