BY PETER EGWUATU

Shareholders  of Geo- Fluids Plc have endorsed the company’s proposed restructuring business units for enhanced profitability.

The shareholders at Geo-Fluids’ 4th Annual General Meeting (AGM) held in Port Harcourt, said, “ We are happy that our company has bounced back to profitability from a loss position  and we are supporting the  Board on the proposed restructuring of our business into four distinct companies with between 3-4 business units/profits centres each.

We also support the listing of our company’s shares on the Nigerian Stock Exchange (NSE). But we are advising management to be cautious of the timing so as not to bring down the value of our shares when eventually listed.”

Continuing, the shareholders said, “We are happy to note that arrangements have reached advanced stage for foreign partners to inject over $100 million into the various functional business units of the Group over the next one year, through a mix of equity and debt in a manner which does not pose threat to us or dilute our ownership.”

Speaking at the AGM, Chairman of the company, Obong Odoliyi Lolomari, said, “The impact of the combined factors of the global economic meltdown and domestic political challenges seems to be simmering down considerably.

Consequently, there was an enhanced exploration activities by the oil operators in more peaceful and stable environment.

While highlighting the financial position of the company for the period ended December 31, 2011, Lolomari said, “Consequent upon improved situation, the profit and loss account shows enhanced recovery from a consolidated loss before profit of N118.6 million and loss after tax of N210.3 million in the year 2010 to a consolidated profit before tax of N116.8 million, while consolidated profit after tax also shows a position of N15.2 million in the year 2011.

Also, while earnings per 50 kobo share value were in a loss position of 0.3k in 2010, the 2011 results show earning per share position of plus N0.30 with a corresponding appreciation of shareholders fund from N5.4 billion to N5.43 billion in 2011.”

Further performance indices for the year under consideration showed that overall turnover increased from N2.1 billion in 2010 to N3.0 billion in 2011, showing an increase of 35 per cent. The balance sheet figures for property, plant and machinery which went from barely N4.8 billion to N9.7 billion, representing more than 100 per cent growth in tangible long term assets of the company.