….plans to grow profit by 200 per cent in 5 years
An integrated oil & gas offshore support vessel services firm with operations in West Africa, was on Monday, November 27, 2017, listed on the trading platform of the Nigerian Stock Exchange (NSE).
About 800 million ordinary shares of the company, Global Spectrum Energy Services Plc, were listed on the NSE, adding N4 billion to the capital market value.
The shares are of 50 kobo each at N5 per share. Speaking at the listing on Monday, Managing Director of Global Spectrum Energy Services Plc, Mr. Colm Doyle, stated that the company plans to increase its profit over a five-year period from N847.87 million in 2018 to N2.62bn by 2022.
According to him, as the company continues to implement its expansion plan that will ensure year-on-year increase in profit, the firm has decided to give out minimum of 30 per cent of its profit as dividend to its shareholders.
A five-year review of the company’s performance showed that turnover declined from N986.45 million in 2013 to N934.62m in 2017; while profit before tax grew from N165.31m in 2013 to N347.13m by October 2017.
The company financial projection in the next five years showed that turnover is expected to grow from N3.88bn in 2018 to N8.1bn in 2022, while net operating income will grow from N2.04bn to N4.43bn in 2022.
Also operating expenses will move from N1.19bn to N1.8bn, Profit before tax to increase from N847.87bn to N2.62bn in the next five years while company’s asset base will grow to N14.09bn by 2022 from N5.46bn in 2018.
The CEO of the NSE, Mr Oscar Onyema, highlighted the benefits of listing on the local bourse.
He stated that, “This step indicates the firm’s belief that our platform remains a veritable avenue for raising capital and enabling sustainable national growth. I commend Global Spectrum for this bold and strategic step.”
Onyema thanked the management of Global Spectrum Energy Services Plc for taking the strategic step to join the Main Board of the NSE and the prestigious club of quoted companies in Nigeria.
He said,“Today’s listing is a promising development in the country’s downstream sector; and we encourage more local players to explore the different opportunities in the capital markets for raising long term capital.
“We believe that increased participation of domestic energy companies in the capital markets will increase investors’ confidence (both local and international) and entrench good corporate governance, transparency and sustainability in the downstream sector.”
Ganiyu Obaaro, with Agency Report