Ardova, formerly Forte Oil, has announced a 520 percent growth in 2019 profit thanks to the sales of three subsidiaries from which the company said it realised N2.67bn.
The listed oil and gas firm, from which billionaire Femi Otedola last year divested his 75 percent stake, posted a profit of N3.9bn in the year.
“During the period ended 30 June 2019, Ardova Plc disposed of its subsidiaries, Amperion Power Distribution Company Ltd (Amperion), forte Upstream Services Ltd (FUS0 and AP Oil and Gas Ghana, the company said in its note to the financial statement.
The listed oil and gas firm, from which billionaire Femi Otedola last year divested his 75 percent stake, posted a profit of N3.9bn in the year.
“During the period ended 30 June 2019, Ardova Plc disposed of its subsidiaries, Amperion Power Distribution Company Ltd (Amperion), forte Upstream Services Ltd (FUS0 and AP Oil and Gas Ghana, the company said in its note to the financial statement.
The disposal of Amperion and FUS resulted in a gain of N1.55bn and N1.23bn respectively while the disposal of AP Oil and Gas Ghana resulted in a loss of N108m hence a bet gain of N2.67bn.
While the asset disposal helped bottom-line, Ardova recorded an improvement in revenue for the year across all its segments except solar system.
Specifically, sales grew by 31 percent to N176.55bn with fuel sales growing over 20 percent while LPG and Cylinder sales raked in N17.47m in the year.
While the asset disposal helped bottom-line, Ardova recorded an improvement in revenue for the year across all its segments except solar system.
Specifically, sales grew by 31 percent to N176.55bn with fuel sales growing over 20 percent while LPG and Cylinder sales raked in N17.47m in the year.
A 34 percent increase in cost of sales however pared gross profit marginally to N11.28bn.
Ardova’s income from non-core business rose by over 100 percent to N4.3bn on profit from subsidiary sales along with foreign exchange gains, and positive net income from crude lifting contract.
This resulted in operating profit doubling to almost half a trillion naira.
A surge in interest income faster than the increase in inters cost helped prune the company’s negative net interest income by 86 percent to N270m.
Ardova’s income from non-core business rose by over 100 percent to N4.3bn on profit from subsidiary sales along with foreign exchange gains, and positive net income from crude lifting contract.
This resulted in operating profit doubling to almost half a trillion naira.
A surge in interest income faster than the increase in inters cost helped prune the company’s negative net interest income by 86 percent to N270m.
Ardova consequently posted a profit before tax of N4.65bn compared to 2018’s N1.03bn.
The company’s EPS jumped to N3 compared to 48 kobo in the year before. Ardova recently officially unveiled a completely new brand, name, logo, and tagline, following approval by the company’s shareholders at an extraordinary general meeting, held in Lagos on 18 December 2019.
“The most important quality we bring to the market right now is our history and legacy of more than five decades in the energy downstream sector. Our long and proud legacy gives us a vantage position from where we can see things differently about how energy is consumed today. It is from this platform we are building a new brand geared to lead to a future where energy is consumed differently, such that we are poised to deliver energy for a brave new world”, said the CEO, Olumide Adeosun.
“The most important quality we bring to the market right now is our history and legacy of more than five decades in the energy downstream sector. Our long and proud legacy gives us a vantage position from where we can see things differently about how energy is consumed today. It is from this platform we are building a new brand geared to lead to a future where energy is consumed differently, such that we are poised to deliver energy for a brave new world”, said the CEO, Olumide Adeosun.
Ardova, hewn from a combination of the Dutch/Arabic word: Aarde, meaning earth and the word ‘value’ mirroring the company’s ambitions to build a brand that has at the heart of its corporate strategy, sustainability leadership. The new logo features a hexagram styled icon as the leading visual concept and takes on the moniker (AP) which creatively connects the company to its rich history and heritage, a design approach the company took to help create a nexus between history and modernity.
The company has existed in Nigeria for 56 years, starting as British Petroleum (BP), trading almost exclusively in fuels and lubricants. The company we are building for the future is a people-first oriented and star service one. One, with sound management in place to deliver a holistic brand vision, with deep investments in technology and sustainable expansion of our retail network. The company had previously informed its stakeholders that 25 percent of its revenue over the next three years will come from low carbon and renewable sources. We are confident in our brand’s ability to deliver.
Plans are being finalized for a corresponding optimization of our retail network experience and a gradual roll-out of the new brand livery across all former Forte Oil stations in the country.
Plans are being finalized for a corresponding optimization of our retail network experience and a gradual roll-out of the new brand livery across all former Forte Oil stations in the country.
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