Oil marketing company, Goil reported an increase in profit after tax of 10.4 percent in 2015.
According to the company, its profit after tax increased from 20.1 million cedis in 2014 to 22.2 million cedis in 2015.
Although Goil admitted to the current economic challenges, it attributed its performance to competitive pricing, delivering of quality products as well as maintaining a high level of visibility by the strategic spread of its stations.
Addressing the company’s Annual General Meeting, Board Chairman for Goil, Professor William Asomaning also indicated of the company’s resolve to improve on its service delivery going forward.
“LPG and Lubricant sales went up by 6% and 12% respectively compared with the same period last year. Notwithstanding unreliable product supply within the year, Goil managed to increase LPG sales through competitive pricing and increased investments in new filling plants,” Professor Asomaning stated.
He added, “Consequently, the profit after tax of Goil, grew by 10.4 % up from GH¢20.1 million in 2014 to GH¢22.2 million in 2015. The Board is therefore pleased to recommend a dividend of GH¢0.025 per ordinary share for the 2015 financial year. This compares with GH¢0.020 in 2014.”
Though the company announced that it has increased its dividend per ordinary share from 20 to 25 pesewas per share between 2014 and 2015, shareholders were insistent of being issued dividends.
But Managing Director of Goil, Patrick Akorli explained that the profits were largely as a result of current investments made in anticipation of greater returns in future.
“There is a very aggressive competition going on out there and Goil cannot stop investing now and I am just appealing to shareholders that there are better times ahead,” Mr. Akorli noted.
He further said, “We are not asking for much just three to four years they will begin to see the results of their investments or the sacrifices that they have made.”
The company’s gross sales increased from GH¢1,634,919 in 2014 to GH¢2,083,896 in 2015.
Customs duties and levies also increased from GH¢87,890 in 2014 to GH¢129,391.
Earnings per share increased from GH¢0.08 in 2014 to GH¢0.088 in 2015.
Goil however says it is focused on becoming the market leader.
This it says will be driven by the extension of operations towards the upstream business as well as improving value added services such as the electronic card payment system to attract more customers.
By: Pius Amihere Eduku/citibusinessnews.com/Ghana