Conoil reports 27% drop in profit, declares N1.50 dividend

By Kayode Tokede

Conoil Plc has reported 27 per cent drop in its profit to N1.44billion in audited results for full year ended December 31, 2020 from N1.97billion reported in full year ended December 31, 2019.

Similarly, profit before tax also dropped by 24.3 per cent to N2.15billion in 2020 from N2.83billion in 2019.

The petroleum marketing company in its results to the Nigerian Exchange Limited (NGX) reported 15.9 per cent drop in revenue to N117.47billion from N139.76billion reported in 2019.

Amid weak performance, the company proposed a dividend of N1.50, 25 per cent below N2.00 dividend paid to shareholders in 2019.

Conoil’s total assets also dropped by 23 per cent to N48.86billion in 2020 from N63.58billion in 2020, while total equity closed 2020 at N19.52bllion, 0.3 per cent above N19.47billion in 2019.

Conoil (formerly National Oil and Chemical Marketing Plc) was incorporated in 1960 as a private limited liability company – Shell Nigeria Limited.

In April 1975, the Federal Government of Nigeria acquired 60per cent shares of the Company through the Nigerian National Petroleum Corporation (NNPC) and the Company became known as National Oil and Chemical Marketing Company (NOLCHEM).

The Company was later converted to a public company and in the year 2000, the Federal Government of Nigeria through the Bureau of Public Enterprises (BPE)

bought 40% issued ordinary shares of the Company held by Shell Company of Nigeria (UK) Limited. After the privatization of the Company, Conpetro Limited acquired 60% of the issued shares of the Company.

As a result of a rights offering by the Company in 2002, Conpetro Limited now holds 74.4% of the issued capital while members of the Nigerian public hold the remaining 25.6% stake in the Company.

The Company’s name was formally changed from National Oil and Chemical Marketing Plc to Conoil Plc on the 14th day of January, 2003.