Business
Oando Posts N1.8bn Profit In Q1
Oando Plc has posted a profit after tax of N1.82 billion for the first quarter as against N1.39 billion recorded in 2008 indicating a growth of 29.94 per cent.
According to the Nigerian Stock Exchange (NSE) weekly report, the company’s unaudited result showed a turnover of N77.53 billion in 2008 representing an increase of 11.78 per cent.
The group’s turnover rose by 83 per cent to N339 billion from N186 billion in 2007 while its gross profit was up by 59 per cent to N11 billion from N7 billion in 2007.
The energy company’s gross profit margin expanded by 85 per cent to N40 billion, profit attributable to ordinary shareholders rose by 53 per cent to N8 billion from N5 billion in 2007 while earning per share grew to N9.90 from N7.24.
Analysts said the group’s performance exceeded their turnover and PAT expectations of N237.94 billion and N7.14 billon respectively.
They said the company’s profitability margins stood at 3.20 per cent (PBT) and 2.46 per cent (PAT), a dip from 3.67 per cent and 2.95 per cent in the full year of 2007. They attributed the drop to the dip in the margins of its refining and marketing division.
The company attributed the improved performance according to reports, to efficient initiatives which improved performance in traditional marketing and non-marketing business lines especially the upstream operation which contributed strongly on earnings.
During the review year, the reports said the company concluded on the purchase of two rigs which an additional rig was brought during the year and also acquired significant stake in offshore blocks OML 125 & 134.