Nigeria’s biggest downstream firms collectively raked in N182.57 billion from their lubricants business in December 2022, a 30 percent increase compared to N140.6 billion in December 2021, findings by BusinessDay showed.
The downstream firms include Total Energies, Ardova, Conoil, Eterna, and MRS who recorded 24.8 percent, 13.4 percent, 8.5 percent, 13.2 percent, and 3.8 percent contributions of lubricant business to the firm’s total revenue in the reviewed period.
Total Energies, Ardova, and Eterna ranked top three with the highest revenue from lubricant business of N119.75 billion, N32.33 billion, and N15.51 billion respectively while following MRS (N3.85 billion), Conoil (N11.14 billion)
Total Energies, Ardova, Conoil, Eterna, and MRS collectively raked in total revenue of N1.07 trillion in 2022, up a 30 percent increase from N823.66 billion in 2021.
Firm analysis
Total Energies
Total Energies’ revenue from lubricants stood at N119.75 billion in 2022, a 39 percent increase from N86.13 billion in 2021.
The firm’s sales of lubricant contributed 24.8 percent to the total revenue in 2022, 40 basis points decline from 25.2 percent in the same period of 2021.
Total Energies revenue grew 41.4 percent to N482.47 billion in 2022 from N341.32 billion in 2021. The firm’s cost of sales stood at N422.29 billion in December 2022 from N286.32 billion in December 2021.
Total Energies selling & distribution costs dropped to N3.7 billion in 2022, up 14.6 percent from N3.23 billion in 2021. Administrative expenses increased to N31.96 billion, up 6 percent from N30.16 billion in the comparable period.
Basic and diluted earnings per share stood at 48.40 for the 12 months ended December 2022 from 49.66 in the same period of 2021.
Total Nigeria Plc is a marketing and services subsidiary of TotalEnergies; a multinational energy company operating in more than 130 countries and committed to providing sustainable products and services for its customers.
Read also: How Lafarge Africa’s cash position soared by 206% in one year
Ardova
Ardova’s revenue obtained from lubricants rose to N32.33 billion in 2022, 25 percent increase from N25.83 billion in 2021.
Lubricants sales contributed 13.4 percent to the total revenue in 2022, a 60 percent basis points increase from 12.8 percent in 2021.
Ardova’s revenue stood at N240.81 billion in December 2022, a 19.5 percent increase from N201.44 billion in December 2021. The firm’s cost of sales grew 18.4 percent to N226.86 billion in the full year of 2022 from N191.59 billion in the full year of 2021.
The firm’s distribution expenses jumped 236 percent to N6.39 billion in December 2022 from N1.9 billion in December 2021. Administrative expenses to N12.18 billion in 2022, up 51.7 percent from N8.03 billion in 2021.
Ardova stood at a loss per share of -N5.83 from earnings per share of N0.95 in the period reviewed.
Ardova Plc is an indigenous energy group, headquartered in Lagos, Nigeria, with extended operations in Ghana. It operates majorly in the downstream sector of Nigeria’s Oil and Gas industry but has diversified its businesses into other sectors of the energy value chain
Eterna
Eterna’s revenue from lubricants stood at N15.51 billion in 2022, a 1.4 percent increase from N15.29 billion in 2021.
The firm’s sales of lubricant contributed 13.2 percent to total revenue in 2022, 540 basis points decline from 18.6 percent in 2021.
Eterna’s revenue grew to N117.46 billion in December 2022, a 43 percent increase from N82.20 billion in December 2021. The firm’s cost of sales climbed 39 percent to N108.34 billion in the full year of 2022 from N77.93 billion in the same period of 2021.
The firm’s selling and distribution expenses increased by 20 percent to N283.02 million in 2022 from N235.66 million in 2021. Also, general and administrative expenses grew to N5.87 billion, up 38.8 percent from N4.23 billion in the comparable period.
Basic earnings per share stood at N1.36 in the full year of 2022 from loss per share of -N0.84 in the full year of 2021.
Eterna plc manufactures, markets and distributes lubricants and chemicals, trades in crude, and operates a network of filling stations.
Conoil
Conoil’s revenue from lubricants increased to N11.14 billion in December 2022, up 14.6 percent from N9.72 billion in December 2021.
The firm’s sales of lubricant contributed 8.5 percent to total revenue in December 2022, 80 basis points increase from 7.7 percent in December 2021.
Conoil’s revenue grew 4 percent to N131.42 billion in December 2022 from N126.73 billion in December 2021. The firm’s cost of sales climbed 0.02 percent to N115.59 billion in December 2022 from N115.57 billion in December 2021.
Distribution expenses stood at N2.29 billion in the full year of 2022, a 4.2 percent decline from N2.39 billion in a similar period in 2021. Administrative expenses grew 12.3 percent to N5.02 billion in December 2022 from N4.47 billion in December 2021.
Basic earnings per share stood at N897 in the full year of 2022 from N444 in the full year of 2021.
Conoil Plc is a Nigerian petroleum marketing company involved in the sale of regulated gasoline and kerosene, diesel, aviation fuel, and low-pour fuel.
MRS
MRS revenue from lubricants grew 6 percent to N3.85 billion in December 2022 from N3.63 billion in the same period of 2021.
Lubricant sales contributed 3.8 percent to the firm’s total revenue in December 2022 from 5 percent in the corresponding period of 2021.
MRS revenue stood at N100.21 billion in December 2022, a 39.2 percent increase from N71.98 billion in a similar period in 2021. The downstream firm’s cost of sales increased by 35.3 percent to N92.22 billion in the full year of 2022 from N68.15 billion in the full year of 2021.
Administrative expenses grew 23.6 percent to N5.61 billion in the full year of 2022 from N4.54 billion in the corresponding period of 2021. The firm’s selling and distribution expenses rose to N378.22 million in the period which ended in December 2022, up 19 percent from N317.49 billion in December 2021.
Basic and diluted earnings per share stood at N4.15 in the full year of 2022 from N1.12 in the full year of 2021.
MRS is one of the largest and leading marketers of refined products, including quality gasoline, marine, and aviation fuels in the downstream industry in Nigeria.
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