MRS Oil Nigeria Plc reported a pre-tax profit of N403.5 million for Q4 2024, reflecting a 60.67% decline from N1 billion in Q4 2023. However, full-year pre-tax profit surged by 63.39% to N9.7 billion, compared to N5.9 billion the previous year.

Despite a 21.9% drop in quarterly revenue to N63.5 billion from N81.4 billion, full-year revenue rose significantly by 71.26% to N312.2 billion, driven primarily by robust Premium Motor Spirit (PMS) sales.

Financial Highlights (FY 2024 vs. FY 2023):

Revenue: N312.2 billion (+71.26% YoY)

Cost of Sales: N288.3 billion (+72.32% YoY)

Gross Profit: N23.9 billion (+59.44% YoY)

Other Income: N695.2 million (+199.25% YoY)

Administrative Expenses: N9.7 billion (+91.62% YoY)

Selling & Distribution Expenses: N1.5 billion (+122.30% YoY)

Operating Profit: N9.6 billion (+60.85% YoY)

Finance Income: N265.7 million (+116.91% YoY)

Finance Costs: N135.6 million (-0.39% YoY)

Pre-tax Profit: N9.7 billion (+63.39% YoY)

Post-tax Profit: N6.5 billion (+60.80% YoY)

Revenue Breakdown

PMS sales remained the primary revenue driver, contributing N272.4 billion, or 87.1% of total earnings. Aviation Turbine Kerosene accounted for 5.54%, while Automotive Gas Oil contributed 4.24%, with the remainder from lubricants, greases, and liquefied petroleum gas.

Cost & Expense Trends

The cost of sales increased by 72.32% to N288.3 billion, with PMS accounting for 86% of these expenses. Administrative expenses grew 91.62% to N9.7 billion due to depreciation, fuel expenses, management fees, and contract labor. Selling and distribution expenses rose by 122.30% to N1.5 billion.

Profitability & Asset Growth

Operating profit climbed by 60.85% to N9.6 billion, while finance income doubled to N265.7 million, driven by interest on short-term deposits. Finance costs saw a slight decline of 0.39% to N135.6 million.

Total assets surged by 92% to N105.4 billion, up from N54.8 billion. Non-current assets increased to N34 billion, with property, plant, and equipment accounting for N33.3 billion. Current assets grew to N71.4 billion, comprising trade and other receivables (N26.8 billion), inventories (N25.7 billion), and cash equivalents (N18.4 billion).

MRS Oil’s strong performance in 2024 was driven by significant revenue growth and increased profitability, despite rising operational costs.

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