Caverton Offshore Support Group, a provider of offshore services to the oil and gas industry, has recorded a growth of more than 15-fold in cash and cash equivalents despite after-loss which widened to N12.7 billion in 2023, BusinessDay analysis shows.
The firm’s after-tax loss widened to N12.7 billion in 2023 from an after-tax loss of N5.17 billion in 2022.
Further analysis reveals that Caverton Offshore Support’s cash and cash equivalent grew to N19.3 billion from N1.24 billion during the period reviewed.
Movements in cash and cash equivalents reveal that net cash flows from operating activities surged to N28.8 billion from N116.5 million.
Net cash generated from investing activities dipped to N849.1 million from N3.4 billion. Net cash used in financing activities stood at a negative of N11.6 billion from N7.7 billion.
The firm’s financial liabilities include trade payables worth N13 billion, other payables worth N4.33 billion, and due to related companies worth N225.5 million.
Impairment loss on financial assets widened to N2.38 billion from N402.3 million while other income dipped to N2.38 billion from N402.3 million.
The income tax charge reported in profit or loss dropped to N61.5 million from N80.4 million.
Caverton Offshore Support Group’s minimum tax calculated as 0.5 percent of gross turnover less franked investment income grew to N168.7 million from N148.6 million.
Revenue from contracts with customers grew marginally to N31.9 million from N29.2 million. The cost of sales dipped to N24.8 billion from N25.5 billion.
Total borrowings grew to N39.5 billion from N32 billion. Current liabilities stood at N18.7 billion, and non-current liabilities stood at N20.8 billion in 2023.
Prepayments dipped to N41.1 million from N233.7 million. Rent prepaid stood at N19.9 million while insurance prepaid stood at N21.2 million in 2023.
Withholding tax receivables dropped to N6.67 billion from N7.23 billion during the period reviewed.
Salaries and wages grew to N468.1 million from N452.8 million while pension contributions surged to N52 million from N50.3 million.
Finance income dipped to N24.9 million from N45.8 million while finance cost surged to N5.82 billion from N5.27 billion.
Caverton Offshore Support Group is a fully integrated offshore support company in Sub-Saharan Africa, able to provide marine and aviation logistics services to support companies within the oil and gas industry.
Caverton Offshore increased its corporate social responsibility efforts as its charitable contributions rose to N27.6 billion in 2023, up from N12.87 million in 2022.
Aderemi Makanjuola, chairman of Caverton Offshore Support Group, said in the corporate governance report that the directors are confident in the company’s future, asserting that Caverton Offshore remains a going concern for at least the next 12 months.
“Despite the reported losses, the company’s strategic investments and robust shareholder support provide a foundation for potential recovery and growth in the coming years,” he said.
Last year, Caverton Marine, a subsidiary of Caverton Offshore Support Group, announced the receipt of ISO 9001:2015 certification by the Standards Organisation of Nigeria.
Caverton Marine, a provider of marine and aviation logistics services to local and international oil and gas companies in Nigeria and Sub-Saharan Africa, described the certification as a testament to its commitment to producing top-tier glass-reinforced plastic (GRP) passenger and cargo boats for use on inland waterways.
Caverton Offshore Support Group Plc, incorporated and domiciled in Nigeria, is a leading provider of offshore services to the oil and gas industry. Its principal activities include marine operations, harbor services, and the provision of charter, shuttle, and maintenance services for helicopters and airplanes to third parties. It is focused on supporting the dynamic needs of the oil and gas sector, leveraging its expertise in aviation and marine logistics.
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