Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • 2023 Elections
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • 2023 Elections
No Result
View All Result
Nairametrics
No Result
View All Result
Home Markets Equities Company Results

R.T. Briscoe declares N618.9 million loss in H1 2020, as sales of vehicles fall 

Omokolade AjayibyOmokolade Ajayi
3 years ago
in Company Results
RT Briscoe Nigeria Plc appoints new Executive Director, CFO
Share on FacebookShare on TwitterShare on Linkedin

R.T. Briscoe, the pioneer dealer of Toyota automobiles, suffered a loss of N618.9 million in the first half of 2020. The loss increased by 84%, when compared to the corresponding period in 2019.

This was disclosed in the company’s H1 2020 published by the Nigerian Stock Exchange (NSE).

According to the report, the decline in revenue negatively impacted the company’s bottom line. Briscoe for the first half of this year reported N2.42 billion as revenue, which is 21% lower when compared with a revenue of N3.07 billion in H1 2019. 

READ: Guinness gains on NSE despite N17 billion pre-tax loss

Highlights  

  • Revenue decreased by 21%  
  • Cost of sales decreased by 19%  
  • Net finance costs increased by 27%  
  • Loss increased by 84%  

READ: Jumia reports N17.1 billion loss in Q2 as COVID-19 fail to boost revenue

Facts behind the loss 

A careful review of the results revealed that the decline in revenue, which aggravated the loss, is attributable to the 30.2% decline in revenue from the sales of Motor Vehicles, and the 33.5% decline in revenue from Aftersales services and parts.  

In the light of the figures contained in the reports, Nairametrics found that the sales of Toyota & Ford Vehicles declined in the first six months of 2020. 

On the flip side, revenue from other segments such as; Industrial equipment, and Property development & facility management increased, compared with the corresponding period in 2019. 

(READ MORE: Nigeria faces breaking point as India’s global crude oil demand drops by 70%)

Other downward pressures on profitability 

The company’s hunt for profit for the first half of this year was eroded by Selling and distribution expenses of N6.95 million, and Administrative expenses of N542.2 million. These expenses eroded the gross profit of N473.93 million to the tune of N38.8 million operating loss, which was compounded by a N580.14 million Net finance cost. 

(READ MORE:UPDATED: Nigeria’s GDP contracts by 6.10% in Q2 2020, as critical sectors plunge)

Key issues facing the auto dealer 

R.T. Briscoe has a total current assets value of N2.33  billion and current liabilities value of N17.69 billion, as the auto dealer maintains a massive working capital deficit of N15.36billion, driven by bank overdraft worth N15.86billion. 

The bank overdraft of N15.86billion in the company’s book represents 89.7% of the total liabilities of the company, and this casts shadows on the going concern of the auto dealer, given the penalty charges from banks and court litigations from creditors. 

READ: COVID-19: Abuja Sheraton suffers 88% drop in revenues

As a result of the sustained losses incurred over the years, the shareholders’ fund has been completely eroded, to the tune of N10.12billion deficit, for the group as of 30th June 2020. 

Related

Tags: Briscoe MotorsBusiness NewsCompany Financial ResultsFordToyota

Leave a Reply Cancel reply

Press one
hfm
Mega Millions
fidelity banner
SME
HFM
Patricia





NM newsletters

Business News | Stock Market | Money Market | Cryptos | Financial Literacy | SME |

Recent News

  • Former Chief of General Staff under Abacha regime, Oladipo Diya, is dead
  • FUGAZ investors gain N34.1 billion during the week 
  • FG highlights policies developed to drive MSMEs growth in Nigeria 

Follow us on social media:

Recent News

Nigeria’s Former Chief of General Staff, Oladipo Diya, is dead

Former Chief of General Staff under Abacha regime, Oladipo Diya, is dead

March 26, 2023
FUGAZ investors gain N34.1 billion during the week 

FUGAZ investors gain N34.1 billion during the week 

March 26, 2023
  • Home
  • Exclusives
  • Markets
  • Industries
  • Economy
  • Business News
  • Financial Literacy
  • Lifestyle
  • Opinions
  • 2023 Elections

© 2023 Nairametrics

No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Nairalytics
    • Macro-Economic News
    • Research Analysis
    • Budget
    • Public Debt
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
  • 2023 Elections

© 2023 Nairametrics

error: Alert: Content selection is disabled!!