Wafi Energy Pakistan, a subsidiary of Saudi Arabia's Wafi Energy group, announced a 148% increase in quarterly profit on Thursday, reflecting robust growth in the country's energy retail sector. The development comes as Islamabad actively courts Gulf investments to stabilize its economy.
Financial Performance
The company reported a profit after tax of Rs2.16 billion ($7.7 million) for the quarter ending March 31, compared to Rs873 million ($3.1 million) in the same period last year. This growth was attributed to stable operations and continued investments despite global energy market fluctuations.
CEO Statement
Zubair Shaikh, Chief Executive Officer of Wafi Energy Pakistan, stated: "This has been a quarter shaped by external volatility and geopolitical challenges. Our focus has been to preserve energy security, keep supply steady, expand the network, and continue investing in areas that matter for Pakistan's needs."
Expansion and Diversification
During the quarter, Wafi Energy expanded its retail footprint by adding 18 new fuel stations and six convenience stores, while upgrading six existing outlets. The company's lubricants business saw growth driven by expansion in original equipment manufacturers and mining segments, along with sustained demand from fleet customers.
Strategic Partnership
Wafi Energy also signed a partnership with Indus Motor Company, marking its entry into the Toyota aftermarket lubricants segment in Pakistan. This move is expected to strengthen its market position.
Economic Context
Pakistan has been actively seeking investment from Gulf countries to shore up foreign exchange reserves and sustain economic recovery after a prolonged balance of payments crisis. Officials have reiterated commitments to a business-friendly environment and policy continuity. The fuel retail sector in Pakistan has witnessed increased competition and investment, with companies expanding networks and diversifying into convenience retail and value-added services to capture growth in a price-sensitive market.
