Ardova Plc has announced the release of its 2021 Audited Financial Statements and Q1 2022 Unaudited Financial Results.
The group posted a 49.89% growth in revenue to N62.934 billion for the first quarter ended March 2022 as against N41.986 billion in 2021.
The company also posted a profit of N1.54 billion in the year ended 31 December 2021, while its consolidated group reported a profit of N193.1 million down from N1.16 billion.
However, according to a statement from the company, losses from subsidiaries Axles and Cartage, and newly acquired Enyo Retail and Supply Limited created a group net loss position of N3.8billion for the full year.
The company noted that in Q1 2022, AP’s performance shows significant improvements as yields from investments made in 2021 contribute to growth in revenue, sales volume, and profits.
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What the company is saying
Ardova’s Chief Executive Officer, Olumide Adeosun, said; “2021 proved to be an eventful year for Ardova Plc, as it marked the completion of our stabilization strategy, with the consequent strengthened balance sheet providing the leverage for the inorganic expansion required to evolve Ardova into an integrated energy company.”
Highlighting parts of the expansion phase that became material in 2021, Adeosun stated, “In the course of the year, we concluded a landmark capital raise of N25.3 billion in an over-subscribed bond that was the largest by any downstream company in Nigeria and an indication of investor confidence in Ardova’s future.
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“We also concluded the acquisition of Enyo Retail and Supply Limited (ERSL) in a deal that makes our retail network the largest in Nigeria.
The company also made further investments in cleaner energy infrastructure, as it commenced onsite work on its 20,000 metric tonne Liquefied Petroleum Gas (LPG) storage facility in Ijora.
Ardova won a license to operate an Oil Marginal Field following a successful bid in the 2020 round, thereby increasing the company’s potential for foreign currency revenue generation.
Moshood Olajide, Ardova’s Chief Financial Officer noted that “The company continued to deliver on profits, as we ended Q1 with a profit-after-tax position of N1.6bn, which is a growth of 37% compared to same period in 2021. We also continued to increase our capital expenditure, principally in investments that facilitate our strategic expansion, and we expect to see returns within a three-year window.”
Key earnings highlights
- Revenue of N50.57 billion, up 21% y-o-y (Group: 62.93billion)
- Gross Profit of N4.82 billion, up 51% y-o-y (Group: N5.42billion)
- Net finance cost of N1.03 billion, up 462% (Group: N1.61 billion)
- Profit before tax of N1.60 billion up 37% (Group: N0.19 billion)
- Earnings per share of N1.23 (Group: N0.15)
- Shareholder funds of N21.12 billion, up 8% y-t-d (Group: N17.30 billion)
- Total assets of N127.95 billion, up 25% y-t-d (Group: N127.29 billion)