• Wednesday, May 22, 2024
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Fuel marketer, Eterna posts N9.33bn loss despite revenue increase

Fuel marketer, Eterna posts N9.33bn loss despite revenue increase

Eterna Plc, a downstream oil and gas company in Nigeria, has reported an after-tax loss of N9.33 billion in 2023, despite recording an increase in revenue.

In its latest financial statements, the company swung to loss from an after-tax profit of N1.02 billion in 2022. Its revenue saw a 57.4 percent increase to N183.38 billion from N116.47 billion.

Read also: Fuel, Lubricants business favour Eterna as revenue hits N69.34bn

The foreign exchange loss for the period surged to N15.43 billion from N159.74 million, marking a substantial 9,604 percent increase.

The increase can be attributed to the devaluation of the naira, which has adversely impacted businesses with foreign exchange exposure.

The statement also revealed that fuel sales rose by 70.5 percent to N164.56 billion. Revenue from lubricants amounted to N18.59 billion, while other revenue stood at N223.49 million.

However, other income decreased to N61.3 million from N232.4 million. Operating expenses rose by 47.8 percent to N8.9 billion from N6.02 billion.

Finance costs surged by 123 percent to N1.54 billion from N690.27 million, primarily due to increased interest on a loan totalling N1.40 billion.

Meanwhile, finance income declined to N39.7 million from N41.04 million. Total assets increased by 13 percent to N60.96 billion from N53.99 billion.

Net cash generated from operating activities turned negative at N2.12 billion compared to a positive of N1.65 billion.

Net cash used in investing activities also increased to a negative of N1.19 billion from a negative of N0.844 million.

On the other hand, net cash generated from financing activities saw a significant increase to N10.44 billion from N4.72 billion.

Cash and cash equivalents at the end of the period declined to N6.89 billion from N10.75 billion.