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Oando Plc has announced its financial results for the month ended September 2019, posting another profit.
Without a doubt 2019 has been another challenging year for the company, not just in terms of external factors beyond its control but an ongoing conundrum with the regulator. Despite this the company’s results show that a management team that has worked aggressively to maintain a trend of positive results reflected in higher production and profit after tax.
Listed companies on the Nigerian Stock Exchange are expected to have submitted their Q3, 2019 results by the end of business on Thursday 31st October; so far volatility in the economic and business climate has impacted negatively on the earnings of some companies. An ongoing narrative across board has been poor sentiment for equities; specifically equities have been dragged down by weaker macroeconomic indicators, which has stifled earning expectations and increased appetite for debt securities.
An analysis into Oando’s financials for the month ended September 30, 2019 shows that its turnover decreased by 18% to N413.8billion compared to N505.1billion in same period of 2018; total borrowing decreased by 8% to N193.1bn from N210.9bn in comparative period of 2018 while its production grew by 8% to 43,045 boe/day from 40,039 boe/day in Year-to-Date (YTD) September 2018. The increase in production was driven by an 11% increase in natural gas production and an 8% increase in crude oil production. To cap this, Oando recorded a profit after tax of N13.1bn a 26% increase from N10.4bn in same period of 2018.
