Total Energies and Marketing Plc has released its full-year 2023 financial result posting a profit after tax of N12.912 billion amidst economic headwinds.
This was contained in the financial statement released to the Nigerian Exchange Limited and seen by TheTimes.
The group’s profit after tax dropped by 19.89% to N12.912 billion from N16.118 billion reported in 2022.
Total Energies also posted a pre-tax profit of N17.580 billion, representing a 28.34% decrease from the N24.532 billion posted in FY 2022.
This is on the back of increasing inflation which the economy continues to struggle with.
The latest inflation report released by the National Bureau of Statistics (NBS) showed Nigeria’s inflation rate for January 2024 surged to 29.90%, marking a significant increase from the 28.92% recorded in the preceding month.
The data reveals a notable uptick in the headline inflation rate for January 2024 by 0.98% points when juxtaposed with December 2023’s figures.
Delving into a year-on-year comparison, the inflation rate for January 2023 stood at 21.82%, showcasing a considerable leap of 8.08% points by January 2024, underscoring an escalated headline inflation rate over the same period in the preceding year.
Moreover, a closer examination on a month-on-month basis illustrates that the headline inflation rate for January 2024 ascended to 2.64%, outpacing the 2.29% observed in December 2023 by 0.35% points.
The inflationary pressures within the core category were most pronounced in the costs associated with passenger transport by road, medical services, actual and imputed rentals for housing, pharmaceutical products, accommodation services, and passenger transport by air, among others.
These areas witnessed the highest price increases, reflecting the broad-based nature of inflationary pressures beyond the food and energy sectors.
The group’s revenue rose to N635.951 billion, representing a 31.81% increase from the N482.470 billion posted in FY 2022.
The group’s cost of sales grew to N554.131 billion in FY 2023, up by 31.22% from the N422.286 billion recorded in FY 2022.
The key driver of the group’s revenue in the 2023 financial year emanated from the sale of petroleum products, accounting for N509.307 billion as against N362.726 reported in 2022 representing a growth of 40.41%. The segment contributed 80.08% of the total revenue of N635.951 billion.
However, the rising cost of sales and foreign exchange loss impacted negatively on the group’s bottom line.
