By Peter OBIORA InvestAdvocate
Lagos (INVESTADVOCATE)-Dual listed and leading indigenous Nigerian oil and gas exploration and production company, Seplat Petroleum Development Company Plc said on Thursday its pretax profit for the period ended December 31, 2015 dropped 57.5 percent to N17.24 billion from N40.48 billion posted a year ago.
In the same vein, profit after tax (PAT) declined 67.5 percent to N13 billion from N40.48 billion declared the same period of 2015.
Revenue went down from N124 billion in 2014 audited year end to N113 billion in the review period of 2015; showing a depreciation of nine (9) percent, Seplat said in a filing with the Nigerian Stock Exchange (NSE).
The board has decided to recommend a final dividend of $0.04 per share compared to $0.09 per share paid in 2014; bringing total dividends for the year to $0.08 per share down from $0.15 per share paid in 2014 audited year end.
Seplat says subject to approval of shareholders, the dividend will be paid on or shortly after the Annual General Meeting (AGM) which will be held on June 1, 2016 in Lagos, Nigeria.
Austin Avuru, CEO of the company commenting on its full year 2015 financial results said “In 2015 we delivered on what was in our control, posting best-in-class reserves and production growth and taking our gas business across a transformational threshold with further expansion still to come. We acted quickly and decisively in response to the weak oil price environment, adjusting our work programme and cost structures, and against a bleak industry backdrop remained firmly profitable with a strong balance sheet underpinning us. Having started the year strongly, our 2016 full year production expectation has been impacted by the current shut-in of the Forcados terminal. However, we are much better positioned to withstand such interruptions than in prior years. Our gas business takes on additional importance by providing a continuous revenue stream that is de-linked to the oil price and our enlarged portfolio offers us scope for greater diversification.
Finally, I would like to re-emphasise our strong focus remains on protecting the business and managing for value through driving further cost reductions, optimising operations, deleveraging and strengthening the balance sheet in preparation for opportunities that will inevitably follow this current downturn.”
Shares of Seplat at the close of the week’s trading on the Nigerian bourse declined 9.09 percent to N300.00 from N330.00 traded the previous week; losing N30.00 per share.
Click here to down Seplat Petroleum Development Company Plc Full Year 2015 Financial Statemenst
