Lahore: The Board of Directors of Sui Northern Gas Pipelines Limited (SNGPL) convened on November 1, 2025, to review and recommend the financial results for the second quarter ending December 31, 2024. The meeting, held in Lahore, concluded without any announcements for cash dividends, bonus shares, or other entitlements, leaving all such categories at NIL.
The financial performance for the quarter was reported amidst a backdrop of a qualified opinion from the auditors. The auditors drew attention to the company’s reliance on governmental resolution of intercorporate balances and tariff adjustments as crucial for settling circular debt. The financial statements, as of December 31, 2024, revealed significant figures, portraying the company’s operational dynamics.
For the three-month period ending December 31, 2024, SNGPL recorded revenue from gas sales at 322.04 billion rupees, up from 306.07 billion rupees in the same quarter of the previous year. The tariff adjustment, a crucial component, stood at 14.49 billion rupees compared to 68.98 billion rupees previously. This adjustment contributed to a moderate move in the overall revenue and tariff adjustment figure, which amounted to 336.53 billion rupees, compared to 375.05 billion rupees in the previous period.
Operating profit for the quarter was reported at 14.77 billion rupees, slightly down from 15.58 billion rupees achieved in the same period last year. The finance cost also saw a reduction to 7.39 billion rupees from 8.70 billion rupees. As a result, the profit before income tax for the quarter stood at 7.37 billion rupees, reflecting a minor move from the previous year’s 6.19 billion rupees. The profit for the period was 4.47 billion rupees, showing an increase from 3.32 billion rupees, with earnings per share at 7.04 rupees, up from 5.23 rupees.
According to information available from the Pakistan Stock Exchange (PSX), SNGPL’s financial results highlighted the company’s strategic positioning in the market category of energy distribution, emphasizing its operational resilience despite regulatory challenges.
The auditors, M/s A.F Ferguson & Co., expressed a qualified opinion due to non-compliance with certain presentation requirements of International Financial Reporting Standard (IFRS) 14, following the expiration of the Securities and Exchange Commission of Pakistan’s (SECP) exemption on June 30, 2024. The auditors noted that the company did not separately present the ‘net movement in Regulatory Deferral Account balances’ as mandated by IFRS 14, instead incorporating it as a ‘Tariff adjustment.’ This presentation choice did not affect the reported profits or retained earnings.
SNGPL’s interim financial position as of December 31, 2024, showed total assets of 1.66 trillion rupees, with non-current assets accounting for 347.67 billion rupees. Current liabilities reached 1.38 trillion rupees, with total equity amounting to 69.09 billion rupees.
The company’s cash flow statement revealed a net cash inflow from operating activities of 25.32 billion rupees, a decrease from 26.52 billion rupees in the previous year. The net cash outflow from investing activities was 20.36 billion rupees, while financing activities resulted in a net inflow of 4.15 billion rupees.
SNGPL’s financial disclosures underscore the ongoing regulatory and operational challenges it faces, particularly regarding compliance with IFRS standards and reliance on governmental policy shifts to address circular debt concerns. The company’s request for exemption renewal is currently under consideration by the Federal Government through the Ministry of Energy (Petroleum Division).