Conoil Plc Reports N1.7 Billion Profit after Tax in Nine Months

The Petroleum products marketing firm, Conoil Plc has reported a profit after tax (PAT) of N1.7 billion for the nine months ended September 30, 2019, showing an increase of seven per cent compared with N1.59 billion in the corresponding period of 2018.

The unaudited results showed that Conoil Plc recorded a jump of 49 per cent in revenue from N75.8 billion to N112.7 billion. However, cost of sale rose by 56 per cent to N102 billion, from N65.3 billion, bringing gross profit to N11.05 billion, as against N10.4 billion. Financing cost rose from N1.483 billion to N1.832 billion.

Consequently, profit before tax (PBT) stood at N2.45 billion, up from N2.27 billion, while PAT rose from N1.59 billion to N1.7 billion. The company ended the nine months with retained earnings of N14.441 billion, up from N13.9 billion in the corresponding period of 2018.

Market analysts said if the company will be able to sustain the performance in the last quarter of the year, shareholders would be able to smile home with dividend at the end of the year.

Shareholders of Conoil Plc received a dividend of N1.4 billion for 2018 financial year. Chairman of the company, Mike Adenuga, had in August told the shareholders that every segment of their business will continue to receive the desired attention with a view to maintaining world class levels of operating and capital discipline.

“We believe that the future holds a lot of promise for our shareholders, the company will surely reward them for their steadfastness and unwavering faith in its prospects,” Adenuga said.

He attributed Conoil’s improved performance in 2018 to the commitment of the board and management of the company to deliver solid financial results in spite of the enormous challenges that confronted operators in the downstream oil sector, including the prohibitive cost of procuring petroleum products.