KARACHI - Pakistan Petroleum Limited (PPL), in its FY09 financial results, posted profit of Rs 27.7b (EPS Rs33.4), up by 41pc versus earnings of Rs19.7b (EPS 23.8) in FY08. The company has also announced 20pc bonus shares and Rs 3 per share final cash dividend with the results taking cumulative cash payout to Rs 13 per share in FY09. According to the FY09 financial statements, total receivables of the company have reached Rs 27.8b compared to last years of Rs13.2b. Sui Northern Gas (SNGPL) remained the major debtor with Rs13.6b (in FY08 it was Rs5.1b) followed by Sui Southern Gas (SSGC) Rs 8.8b (in FY08 it was Rs 2.7b), Wapda Rs 3.5b against Rs3b in FY08 and Attock Refinery (ARL) Rs 1.8b which was Rs 2.2b in FY08. This is due to prevailing circular debt situation, driven mainly by power sector. As a result, total cash position of the company has greatly suffered. Total cash of the company is standing at Rs 14.6b (Rs17.6 per share) compared to Rs 21.8b (Rs26.3 per share). The company believes that the government would settle this amount soon. According to the results, the total cash payout stood at 39pc versus 2-year historical average payout of 55pc mainly due to persisting circular debt trap in the energy chain. The growth in companys bottom line was mainly supported by 35pc revenue growth. Though oil revenues (crude oil +NGL+ condensate) of PPL dropped by 9pc amid lower realised crude oil prices (approx. $58 per barrel compared to $85 per barrel in FY08), gas revenues rose by significant 43pc on the back of improved wellhead gas prices of Sui and Kandhkot fields (higher by 56pc YoY). Thus, sharp decline in oil prices during FY09 did not affect the overall revenues due to higher share of gas in its hydro-carbon as gas prices are fixed for 6-months (time lag impact). Secondly, 20pc devaluation of Pakistani rupee against dollar which improved rupee based revenues. During FY09, though oil production remained flat, however, gas sales dropped by 3pc (average 955mmcfd) mainly due to decline in production from its famous Sui gas field. Interestingly, the affect of higher field expenditure was mitigated through increase in other income.