Oil and gas firm, Ardova Plc (formerly Forte Oil Plc), has reported a 520% increase in its after-tax profit for Full Year 2019.
This and other details of the firm’s performance are contained in Ardova Plc’s Financial Statements for the Year Ended 31 December 2019, posted on the website of the Nigerian Stock Exchange Friday.
Revenue rose from N134.706 at FY2018 to N176.551 billion at FY2019, signalling a 31.1% increase.
Ardova’s Profit Before Income Tax (PBIT) grew by 352.5% to N4.654 billion at FY2018 from N1.029 billion in the corresponding period of last year.
Profit After Tax (PAT) climbed from N631.471 million at FY2018 to N3.915 billion at FY2019, translating to a 520% growth.
The Earnings Per Share (EPS) of Ardova Plc grew from N0.48 at FY2018 to N3 at FY2019, implying a 525 increase.
However, its Cost of Sales escalated significantly in between the periods, jumping by 34% from N123.376 billion at FY2018 to N165.269 billion FY2019.
Ardova Plc’s management should consider cutting such expenses significantly in the future in order to turn out improved results.
Majority owned by energy mogul, Abdulwasiu Sowami, Ardova Plc has undergone major corporate transformation since the ownership of the firm exchanged hands in the middle of 2019.
Billionaire investor, Femi Otedola had last year divested his stake (982.97 million shares or 74.02%) in the firm in a deal said to be around N65 billion and committed the proceeds to investment in Geregu Power Plant.
With outstanding shares of 1,302,481,103, its market capitalisation as of today is over N22.142 billion.
READ ALSO: UBA’s Full-Year Profit up by 13%
It is currently trading below its fair value.
Ardova Plc closed on the floor of the NSE on Friday at N17 per share.
Earnings Per Share is the profit that each unit of a company’s ordinary shares yields during a particular period. It is simply calculated by dividing the Profit After Tax by the company’s total outstanding shares. Increase in a company’s EPS often reflects an improvement in its bottom-line while a fall, on the other hand, indicates a declining profit.
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
INVESTIGATION: How roadside foods endanger consumers’ life with trans fat in northern Nigeria
With an estimated 854,000 deaths in Nigeria, and 3,229 attributed to trans fatty acids (TFA) -related cardiovascular deaths, ADESOLA IKULAJOLU visited Nigeria’s...
INVESTIGATION: Untold story of Ondo oil producing communities battling poor health system
Access to quality healthcare is one of the nightmares of communities in Ilaje local government area of Ondo State. Despite...
FEATURE: Ogun residents, waste collectors trade blames, as refuse litter environment
TIJANI ABDULKABEER, a journalist from the University of Ibadan, during a recent trip to Sango Otta, Ogun State took a look...
INVESTIGATION: How online fraudsters siphon victims’ funds through ‘SportyBet’ platform
As Nigeria transits into a cashless society, the evolution also creates opportunities for internet scammers to take advantage of unsuspecting...
SPECIAL REPORT: Enugu govt watches as waste takes over state, threatens public health, environment
In this report, Arinze Chijioke looks at how delays in evacuation of waste in Enugu State encourages indiscriminate waste disposal, its health implications, and how...