A pre-tax loss of N7.9 billion was reported in Eterna Plc unaudited financial accounts for FY 2023, a 476% decrease from the N2.1 billion pre-tax profit reported in 2022.
With N183.4 billion in sales in 2023, the downstream petroleum firm had a 57% growth in revenue from N116.5 billion in 2022.
This revenue growth was driven by a rise in fuel prices in 2023, due to the removal of petroleum subsidy.
In 2023, the company recorded a revenue of N164.6 billion from fuel sales, marking a 71% jump from the N96.5 billion in fuel sales in 2022.
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While there was a growth in fuel sale revenue, there was a corresponding 66% growth in fuel cost of sales to N150.3 billion, from 2022’s N90.4 billion.
The company also pulled off a remarkable growth in operating profit to N9.1 billion, representing an 182% growth from the N3.2 billion posted in 2022.
Despite the impressive fundamentals, Eterna Plc was not alienated from the losses that many Nigerian companies had accrued due to foreign exchange exposures in 2023. The devaluation of the Naira from June 2023 to December 2023 cost the company about N15.4 billion in net foreign exchange losses, which resulted in a pre-tax loss of N7.9 billion.
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Key Highlights FY 2023 (FY 2022, % Change)
Revenue: N183.4 billion (N116.5 billion, +57%)
Cost of sales: N165.5 billion (N107.5 billion, +54%)
Gross profit: N17.9 billion (N9.0 billion, +99%)
Selling and distribution expenses: N404.3 million (N283.0 million, +43%)
Operating profit: N9.1 billion (N3.2 billion, +182%)
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Net foreign exchange loss: N15.4 billion (N159.7 million, -9564%)
Loss/Profit before tax: -N7.9 billion (N2.1 billion, -476%)
Loss/Profit for the year: -N9.3 billion (N1.0 billion, -1022%)
Earnings per share: -N7.16 (N0.78, -1018%)
Cash and bank balances: N6.9 billion (N11.2 billion, -38.2%)
Total assets: N61.0 billion (N54.0 billion, +13.0%)
Retained earnings: -N2.8 billion (N6.7 billion, -143%)
