By Peter Egwuatu
Preparatory to the listing of its shares on the Nigerian Stock Exchange (NSE) after a successful private placement, Geo Fluids Plc has recorded a shareholdersâ€™ funds of N6.354 billion for the financial year ended December 31, 2008.
This represents an increase of 496.2 per cent from N1.065 billion recorded in the corresponding period of 2007.
The financial highlights of the company further show a remarkable progress from 2004 to 2008 in all the performance indicators. The turnover grew from over N511 million in 2004 to over N2.960 billion in 2008, representing an increase of 478.6 per cent .
The Profit Before Tax (PBT) also grew from over N43 million in 2004 to over N 689 million in 2008 with a corresponding increase in the Profit After Tax PAT from over N35 million in 2004 to over N 544 million in 2008.
Similarly, the fixed assets of the company grew from over N129 million in 2004 to over N4.285 billionÂ in 2008, representing an increase of 3206 per cent. The shareholdersâ€™ funds grew by 4,050 per cent from over N153 million in 2004 to over N6.354 billion in 2008. The company recorded a bonus issue of over N340 million in 2008.
On year to year analysis, Geo- Fluids recorded an increase in turnover, cost of sales, gross profit, administrative expenses, PBT and PATÂ by 135.9 per cent, 251 .7 per cent, 84.5 per cent, 197.6 per cent, 63.8 per cent and 45 per cent respectively. Specifically, turnover stood at N2.960 billion in 2008 as against N1.255 in 2007; Cost of Sales was N1.356 billion in 2008 as against N385.632 million;Â Gross Profit stood at N1.604 billion in 2008 as against N869.549 million in 2007; Administrative expenses stood at N764.796 as against N257.001 million in 2007; PBT stood at N689.510 million in 2008 as against 421.027 in 2007, and PAT was N544.427 million as against N373.926 million in 2007.
Speaking with some capital market correspondents in Lagos, Group Managing Director/CEO, Geo- Fluids Plc, Dr. Ala A. Ibanibo said the remarkable achievement recorded by the company during the period under review was as aÂ result of the efficient use of its scarce resources.
According to him, â€œ This is a very remarkable result by any standard looking at the limited resources available to the company. The financials speak for themselves. With the repositioning of Geo-Fluids the company hopes to surpass the past achievements and bring adequate returns to all stakeholders.â€
He disclosed that the company will reward shareholders for their financial commitmentÂ Â during its last private placement.
According to him, â€œ We would have listed our shares on the stock exchange before the end of this year as promised but for the global financial meltdown. However, Barring unforseen circumstances, that is, if the stock market continues to pick up we would still list on the Exchange by the mid year of 2010. This will give our shareholders the leverage of selling their shares at will and have capital appreciation. Besides, it will place the company on the global perspective as the public will have access to it and be ready to commit more funds for expansion.â€
He disclosed that the shareholders may be given both bonus and dividend depending on the decision of the Board of Directors.
On the history of the company, Ibanibo said, â€œ Geo- Fluids group is made up of professionals in different fields with focus in engineering, efficient project management, prompt and quality services in the oil and gas industry. The companyÂ is a wholly indigenous drilling mud, work-over, completion and production chemical supply, engineering and marketing company incorporated in Nigeria in 1994.
Our organization is strategically positioned to offer the following hi-tech specialized services to the Nigeria oil and gas industry.â€
.Today, we are pleased to say Geo-Fluids Plc. presently remains the first wholly indigenous mud company to own and operate a functional mud materials processing mill and mini-factory capable of handling well over 30 metric tons of crude Barites, Bentonite and Calcium Carbonate per day.â€