MRS Oil’s final quarter sales revenue is far off the high mark set for the quarter but the bottom line is surprisingly better than expected.
The final quarter earnings forecast had raised high hopes of generating more than 60 percent of the company’s full-year turnover from the closing quarter — which was expected to jerk up sales revenue of N100.9 billion at the end of the third quarter to the region of N255 billion.Yet, the company is reporting one of the most outstanding profit improvements in 2023 with a leap of 272 percent in the bottom line from N1.3 billion in 2022 to N4.9 billion.
Other cost savings in the quarter helped to manage the instability created by missed sales target. They include a drop of 38.4 percent in selling and distribution cost to N396 million and a drop of 7.4 percent in impairment loss on financial assets. Sales revenue for the full year amounted to N182.3 billion, an increase of 80.9 percent from N100.8 billion turnover recorded in 2022. The figure is N72 billion short of the targeted full-year sales revenue in the region of N255 billion.