Forte Oil declares N6.01bn profit

Against the backdrop of a slowing economy and increased insecurity, Forte Oil Plc, a major Nigerian marketer of refined petroleum products, ended the year 2014 in an impressive performance raking in N6.01 billion profit before tax in spite of the decline in the crude oil and fuel prices. Announcing the audited results for the twelve-month period which ended December 31, 2014, the firm said that all the areas of its operations recorded positive returns as its revenue increased by 32.88 percent to N170.13 billion compared to N128.03 billion recorded same period in 2013.

The report also shows that the gross profit increased by 51 percent to N18.46 billion compared to N12.26 billion same period in 2013 and the operating profit increased by 30 percent to N8.14 billion compared to N6.27 billion recorded same period in 2013. The company also under took some projects such as the completion of the three-year transformation programme which includes strategic retail business expansion, increased commercial customer base for both fuels and lubricants, improved operational efficiency as well as human capital development. Even though the profit be- fore tax was high, it was less than N6.52 billion recorded same period in 2013 which is a decrease of 7.94 percent. Julius Omodayo-Owo- tuga, the group chief financial officer of the company, said that “the drop in the Group’s profit before tax is largely attributable to the 10 percent devaluation of the naira in November 2014 and increased finance costs caused by huge subsidy receivables from the Federal Government.”