Caverton Offshore Support Group PLC (COSG), one of the leading provider of marine, aviation and logistics services to local and international oil and gas companies in Nigeria has announced its unaudited 2017 Half year results.
The results indicate revenue of N10.1billion and Profit Before Tax of N938m which represent 11% and 140% increases over the results of same period in 2016.
The increase in revenue during the quarter was due to increase in charter flights and vessel agency operations, which also affected our operating costs increasing by 9% over last year’s result.
The company has on the other hand been able to contain the administrative expenses during the period by about 61% arising majorly from the impact of the government intervention in stabilizing the foreign exchange rate.
Consequently, the earnings per share increased to 18 kobo from a negative 73 kobo same period last year.
Reacting to the result, Bode Makanjuola, the CEO of COSG PLC, said COSG’s ability to post this impressive result was a result of the shared will and determination of the company’s management with the support of its board of directors to manage our overall expenses while maximizing company revenue potentials.
“With the revenue increasing by 11% and the profit before tax by 140% over 2016 half year result, we remain determined to ensure optimal use of the business resources,” Makanjuola said.
The group’s financial highlights show that Revenue is N10.1b, {N9.1b June 2016}, operating Profit, (excluding other income), is N1.6b, {(N1.9b) June 2016}, EBITDA is N1.9b, {(N396m) June 2016}, Profit before tax is N938m, {(N2.4m) June 2016} and EPS is 18 kobo, {(73 kobo) June 2016}.
Profitability Ratios show that gross margin is 35% (34% June 2016), EBITDA margin is 19% {(4%) June 2016}, net profit margin is 9% {(26%) June 2016}, EBIT/interest expense is 2.24x {(2.21) June 2016}
Capital Structure ratios show net debt/EBITDA is 6.08x {(31.03)x June 2016}, net debt/equity is 0.85x (1.21x June 2016), total debt/total capitalization is 0.95 (1.42 June 2016), asset turnover is 24% (23% June 2016).
Operational Highlights of the company indicate that the construction of its Maintenance, Repair and Overhaul facility (MRO) is at advance stage and when completed will enhance the group revenue.
In addition to these, the company also disclosed that it is taking a critical review of operations in Marine and Aviation sectors to be able to tap into the business opportunities available in these sectors.
Caverton is one of Nigeria’s leading oil services companies providing solutions for a range of multinational companies across aviation and marine services.
Caverton shipping companies commenced operations in 1999 while Caverton Helicopters a helicopter charter, sales and Maintenance Company was established in 2002.
Both companies were consolidated to form Caverton Offshore focus and primary business is to provide logistics and environmental support services to oil and gas fields with broader plans to support energy operations along the West African shelf as well as other ancillary support services.
Ifeoma Okeke
