Listed oil marketing firm Total Kenya has recorded a marginal increase in net earnings to KSh 1.14 billion at the end of the six months of 2020. This is compared to KSh 1.11 billion net earnings over a similar period last year.
The firm’s financial performance is viewed against a decline in the price of crude oil, especially between January and April.
A leading player in Kenya’s fuel market, Total Kenya had its balance sheet size shrink to KSh 35.6 Billion from KSh 37.6 Billion in H1, 2019 while Net Sales fell significantly from KSh 66.1 Billion to KSh 31.5 Billion during the period under review.
The firm’s pre-tax profit declined to KSh 1.6 Billion at the end of the first six months of 2020 year compared to KSh 1.7 Billion in H1, 2019.
The fuel retailer’s profitability, as measured in terms of Earnings per Share increased to KSh 1.80 from KSh 1.76 during the half-year period of last year.
Total Kenya attributes its decreased sales to its reduced orders through the Open Tender System (OTS), a slowing economy and a fall in the prices of fuel.
Its cash position improved from 280.7 Million to KSh 5.9 Billion due to what the firm said is effective management of working capital.
” The environment remains challenging due to the uncertainty of COVID-19 related impacts as well as speed and extent of the post-pandemic recovery period,” said Olagoke Aluko, Managing Director, Total Kenya.
The firm’s Board of Directors has not recommended an interim dividend.
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