Since the petroleum industry is one of the major contributors in the growth of economy, this dissertation examines the performance of petroleum industry of Pakistan. It examines the industry’s performance over a period of five years i.e. 2007 - 2011. For this purpose, we have selected three major petroleum companies which are as followed: 1. Pakistan State Oil Company Limited (PSO) 2. Shell Pakistan Limited (SPL) 3. Attock Petroleum Limited (APL) The principal objective of this report is to analyze and interpret the financial health, financial performance and stability of the petroleum industry of Pakistan and to assess and evaluate the financial performance of the selected petroleum companies. This dissertation also focuses on examining the financial state of affairs of the selected petroleum companies and to test their financial strengths and weaknesses. It also identifies and pinpoints the causes of better financial performance of the industry and selected companies and suggests measures for further improvement. This report will also cover and explain whether the z-score has any impact on the stock prices using statistical tools. Overall the dissertation provides a critical insight and review of the petroleum industry of Pakistan and its contribution towards the economic growth of the country over the study period determined in our research study.

BBA