Forte Oil Plc has reported impressive performance for the year ended December 31, 2017, showing an increase of 323 per cent in profit after tax (PAT). The firm adopted cost reduction strategies that boosted its performance, THISDAY reports.
According towards the results, Forte Oil Plc recorded revenue of N129.443 billion, showing a loss of 12 per cent from N148.605 billion in 2016. Price of sales fell from N128.021 billion to N105.327 billion, making the provider to close the year with a gross profit of N24.115 billion, up from N20.583 billion in 2016.
Forte Oil reduced its distribution expenses by 40 per cent from N3.016 billion to N1.796 billion, while administrative expenses stood at N10.119 billion, from N10.293 billion in 2016. Finance income improved by 11 per-cent to N2.096 billion to N1.888 billion, while net finance cost reduced by 15 per-cent to N3.636 billion from N4.281 billion in 2016.
Profit before tax improved by 34 per cent from N5.340 billion to N10.627 billion. A discount of 34 per cent in taxes from N2.449 billion to N1.599 billion, made PAT to progress faster. Specifically, PAT soared by 323 per-cent from N2.890 billion to N12.226 billion in 2017. Rapidly high profit the board of directors could not recommend dividend payment.