Auto: SUV Sales Rebounded With 84%MoM Growth - By Sherman Research

Jun 13 2025

Sherman Securities

• SUVs posted robust growth in sales with 2,638 units (up 84%MoM). This is the highest monthly sales numbers of the current year– barring one-off sales in January due to year end phenomenon.

• Within SUVs, Tucson sales grew to 569 units compared to only 5 units last month. Havel sales also climbed by 70%MoM.

• Company wise, highest sales was recorded by SAZEW ( Up 67%MoM) on back of elevated Havel sales. In 11MFY25, SAZEW lead the industry with the most sales growth (Up 2.3xYoY)

Pakistan State Oil (PSO): Corporate Brief in Corporate Briefing Key Takeaways - By Topline Research

Jun 13 2025

Topline Securities

• Pakistan State Oil (PSO) conducted its Corporate Briefing Session today where management discussed financial performance and future outlook of the company.

• As per management, efforts are ongoing to resolve circular debt, though no definitive plan is in place. The target is to recover both principal and Late Payment Surcharge (LPS). As of Mar 2025, PSO’s total receivables stand at Rs732bn, which included Rs325bn in principle from SNGPL alone. Overall LPS amount is over Rs200bn+. Investment plans are in place, pending liquidity, with options still under review.

• Since Feb 2024, there has been no buildup in circular debt from SNGPL side as company has made it clear to Government and PSO that payments should flow on monthly basis. And this understanding is continuing and being implemented in true spirit. In contrast, OGDC and PPL receivables increased from Sui companies in 3QFY25

Pakistan State Oil Company Limited (PSO): Analyst briefing takeaways - By Insight Research

Jun 13 2025

Insight Securities

• PSO has conducted its corporate briefing to discuss financial results and outlook of the company. We have highlighted key takeaways from the briefing

• Regarding power circular debt resolution, management highlighted that there is no clarity on the amount PSO will receive post this settlement.

• On market share, the company mentioned that it declined due to rising competition and discount offered by competitors. Management expect 3%- 5% growth in retail fuel offtake in FY26.

Pakistan Economy: Policy rate likely to remain ‘unchanged’ - By Taurus Research

Jun 13 2025

Taurus Securities

• State Bank of Pakistan’s Monetary Policy Committee (MPC) is scheduled to meet on Monday June 16, 2025, wherein we expect the MPC to keep the benchmark policy rate ‘unchanged’ at 11%. Our expectations are primarily based on the following factors:

• Geo-political developments: Recent escalation between Iran and Israel, as well as the war between Russia & Ukraine, continues to pose upside risks to commodity prices in particular oil. For context, oil prices are up ~9% following Israel’s attack on Iran. These pressures pose a significant risk to inflation expectations.

• Core inflation remains elevated: Core inflation in Urban and Rural areas was recorded at 7.3% and ~9%, respectively in the latest NCPI reading for the month of May’25. We believe the MPC would like to see a more sustained decrease in the same.

Technical Outlook: KSE-100; Expected to trade range bound - By JS Research

Jun 13 2025

JS Global Capital

• The KSE-100 index failed to sustain its intraday high of 126,718 and slid to close at 124,093, down 260 points DoD. Volumes stood at 1,025mn shares compared to 1,041mn shares traded in the previous session. The index is likely to test support at yesterdays’ low of 123,847 where a fall below initiating a corrective trend. However, any upside will face resistance in the range of 124,880-125,925 level, followed by 126,718. The MACD is rising, while the RSI has shown weakness, signaling no clear trading view. Investors are advised to view any downside as an opportunity to ’Buy’, keeping stoploss below 123,238 level. The support and resistance are at 123,054 and 125,925, respectively.

Morning News: IMF raises eyebrows over Rs344b grant - By Vector Research

Jun 13 2025

Vector Securities

• The International Monetary Fund (IMF) has raised concerns over provision of Rs344 billion grants to various sectors without approval from the National Assembly. Sources said the multilateral lender termed the grant for defence, Independent Power Producers (IPPs) and other sectors without the nod of parliament a violation of the govt-IMF agreement. The federal government has additionally spent Rs344.66 billion during the current fiscal year in the shape of grants.

• Pakistan slashed spending and pledged to stay the course on fiscal consolidation for the upcoming financial year, reinforcing the government’s commitment to its International Monetary Fund loan programme, reports Bloomberg. The budget plan unveiled Tuesday kept expenses unchanged, while proposing to increase taxes by 18 per cent to Rs2.56 trillion ($9 billion) for the year starting July, Finance Minister Muhammad Aurangzeb said in a parliament speech. That will lead to a primary balance surplus of 2.4 per cent of gross domestic product, said Aurangzeb, higher than the 1.6 per cent agreed with the IMF.

• In a significant win for Pakistan, the International Finance Corporation (IFC) and the World Bank have approved a concessional loan of $700 million for the Reko Diq project, a major mining and resource development initiative. This approval, granted during a board meeting in Washington, is a significant diplomatic victory for Pakistan and a major setback for India, which had actively lobbied against the funding.

Pakistan Economy: Monetary Policy Survey 56% of the participants expecting status quo; we also expect no change - By Topline Research

Jun 12 2025

Topline Securities

• State Bank of Pakistan (SBP) is scheduled to hold its Monetary Policy Committee (MPC) meeting on May 05, 2025.

• In a Poll conducted by Topline Securities, 56% of the market participant expect a status quo in upcoming monetary policy meeting compared to 31% in last poll. While 44% are expecting a rate cut of at-least 50bps.

• Out of total 44% rate cut participants, 19% are expecting 50bps cut , and 25% are expecting 100bps cut.

Highnoon Laboratories (HINOON): Corporate Briefing Key Takeaways - By Topline Research

Jun 12 2025

Topline Securities

• Topline Securities organized Corporate Briefing Session of Highnoon Laboratories(HINOON), where management discussed financial performance and future outlook.

• HINOON outperformed the industry, with its revenue growing at a 10-year CAGR of 23%, compared to the pharmaceutical industry’s 10-year CAGR of 15%.

• HINOON’s revenue grew by 25% to Rs24.6bn in 2024, of which 8% was driven by volume growth and 17% by price increases. The management expects the growth momentum to continue in the coming period and to outperform industry growth

Auto: Pakistan Car sales in 11MFY25 up 39% YoY; 2/3 wheelers record ~ 3 year high - By Topline Research

Jun 12 2025

Topline Securities

• Pakistan Car sales in Pakistan (as reported by PAMA) clocked in at 14,762 units in May 2025, reflecting a 35% YoY and 39% MoM rise.
• MoM rise was mainly due to lower base as Apr 2025 saw road closure in Sindh (due to strikes over canal issues) which delayed deliveries and thus lower sales.

• YoY growth is supported by a more stable macroeconomic environment, lower interest rates, easing inflation, and improving consumer sentiment.

Oil and Gas Development Company Ltd (OGDC): OGDC discovers oil and gas at Fakir-1 in Bitrism E.L., Sindh - By AKD Research

Jun 12 2025

AKD Securities

• Oil and Gas Development Company Ltd (OGDC) has announced an oil and gas discovery at the exploratory well Fakir-1, located in the Bitrism E.L., Khairpur, Sindh. The company (95% working interest), successfully tested the results in the Lower Goru formation with gas flow reaching 6.4mmcfd, alongside crude oil of 55bpd. We anticipate the aforementioned discovery to contribute an annualized EPS impact of ~PkR0.36/sh for the company.

• We reiterate our ‘BUY’ stance on OGDC with a Dec’25 target price of PkR371/sh, alongside a DY of 9% during the same period. Our outlook is strengthened due to the following aspects: i) strong production profile, ii) higher future exploration prospects on back of improving liquidity situation, iii) 8.33% stake in highly prospective Reko Diq Mining Project, iv) offshore working interest in Abu Dhabi Offshore Block-5, along with consortium partners and v) improvement in cash payouts.