![[2014 FY RESULTS] Oando Just Posted One of The Biggest Losses On Record](https://nairametrics.com/wp-content/uploads/2015/10/nollywood-1.jpg)
Oando Plc on Friday posted its long-awaited 2014 FY results, along with its Q1 2015 results.
The results show that Oando racked up record after-tax losses of N183.9 billion in FY 2014, far worse than analysts had estimated.
Oando’s mounting losses continued into 2015, with a N20.9 billion after tax loss in Q1 2015.
FY 2014 total revenue fell by 5% to N424 billion from N449.8 billion, while Q1 2015 revenue increased by 83% to N33 billion, up from N18 billion in Q1 last year 2014.
See summary of result below…
| Oando PLC Q1 2015 | 2015 | 2014 | % Change |
| N’mn | N’mn | ||
| Revenue | 33,027 | 18,000 | 83.48% |
| Gross Profit | 13,447 | 10,702 | 25.65% |
| Operating Expenses | -20,697 | 6,722 | -407.90% |
| Pre-tax Loss for the year | -18,275 | -3,929 | 365.13% |
| Loss for year | -20,964 | -2,716 | 671.87% |
| Current Share Price | |||
| Oando PLC 2014 Full Year | 2014 | 2013 | % Change |
| N’m | N’m | ||
| Revenue | 424,677 | 449,873 | -5.60% |
| Gross Profit | 69,181 | 59,289 | 16.68% |
| Operating Expenses | -271,876 | -41,396 | 556.77% |
| Pre-tax Loss for the year | -179,282 | -4,676 | 3734.09% |
| Loss for year | -183,893 | 1,396 | -13272.85% |
| Current Share Price |
The results also reveals a huge operating expense of about N225 billion in the last quarter of 2014 as the chief driver of the losses. The nature of the losses suggest it was a huge write down on impaired assets which is not a surprise to many analysts. Investors had estimated that it could take huge impairments on the CononocPhilips assets acquired in 2014 just about when the price of oil was at its peak before it fell by over 60% throughout 2015. It is also thought to be as a result of other assets thought to be in a pretty bad shape as the oil industry continue face negative headwinds.
The company is expected to release its facts behind the figure report in due course and will surely reveal exactly what happen. For now, all eyes would be on the intangible assets of N253 billion currently sitting on its balance sheet as at June 2015. Could it be the next can of worms waiting to be unleashed?
