Seplat leverages rebound in oil prices, post strong sales figures

FILE PHOTO: Oil pours out of a spout at the Drake Well Museum and Park in Titusville, Pennsylvania U.S., October 5, 2017. REUTERS/Brendan McDermid

One of Nigeria’s leading energy companies, Seplat energy Plc is leveraging the rebound in oil prices to boost revenues in the first nine months of 2021 as it posted strong sales figures owing to the steady growth in oil prices during the period.

Seplat Energy Plc, a leading Nigerian energy company dual-listed on the Nigerian Exchange and London Stock Exchange, recently filed its nine months financial statement for the period ended September 30, 2021, which revealed impressive gross earnings appreciating by over 34.70 percent from N135.62 billion in 2020 to N182.68 billion in the current period.

Gross profit for the nine months recorded impressive gains of 83.44 percent from N31.69 billion to N58.13 billion. Operating profit surged to N62.61 billion from a loss of N27.44 billion in the previous year period.

The post-tax profit for the period appreciated massively by 141.26 percent from a loss of N33.68 billion to record a profit of N13.90 billion. The shareholders’ equity increased by N42.21 billion Year to Date to stand at N674.55 billion.

The company’s top-line earnings arose from revenue from contracts with customers who are divided into two segments: Crude oil sales and Gas sales.

A cursory look at the notes to account revealed that the energy company made the most sales from Crude oil, which yielded over N146 billion, roughly 80 percent of the total revenue, during the period under review, which can be attributed to the rebound in global oil prices.

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