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Okomu Oil Palm reports 44% profit growth in 2023

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Okomu Oil Palm Company Plc has reported a pre-tax profit of N33.84 billion in FY 2023, representing a 44% growth from N23.52 billion in FY 2022.

According to the group’s audited financial statement for 2023, it recorded a revenue of N75.11 billion, representing a 27% growth from the N59.32 billion posted in 2022.  

The company’s total assets increased in 2023 by 31.2% to N95.10 billion from the N72.50 billion posted in 2022. Even as the company’s shareholders fund increased by 14% to N38.87 billion from the N34.03 billion posted in 2022.  

Key Highlights (FY 2023 vs FY 2022) 

  • Revenue from contracts with customers: N75.11 billion, +27% YoY 
  • Other income: N10.85 billion, +510% YoY  
  • Raw materials and consumables used: N12.52 billion, +7% YoY  
  • Other expenses: N15.69 billion, +43% YoY 
  • Finance costs: N3.67 billion, +243% YoY 
  • Finance income: N5.22 billion, +5% YoY  
  • Profit before taxation: N33.84 billion, +44% YoY  
  • Profit for the year: N20.65 billion, +27% YoY  
  • Total equity: N38.87 billion, +14% YoY 
  • Total assets: N95.10 billion, +31% YoY  
  • Earnings per share: N21.64, +27% YoY 

As of March 29, Okomu Oil closed with a share price of N243 on the NGX, representing a 6.54% year-to-date decline.  

What you should know  

In 2023, the company posted the value of its harvested produce as N1.01 billion, representing a 60.5% increase from the N630.34 million posted in 2022.  

During the year, the company harvested about 279,834 tonnes of Fresh Fruit Bunches, representing a 12.4% increase from the 248,975 tonnes harvested in 2022. The company also sold 56,103 tonnes of palm oil in 2023, up by 12.8% from the 49,745 tonnes sold in 2022.  

The company harvested 9,884 tonnes of cups of lumps in 2023, marking a 31.9% increase from the 7,492 tonnes harvested in 2022.

Then the company sold 9,863 tonnes of rubber cake, representing a 17.3% increase from the 8,409 tonnes sold in 2022.   

The company operates 3 concessions totalling about 33,112 hectares of land. Okomu Oil operates 19,044 hectares of oil palm plantation, 7,335 hectares of rubber plantation, and 2,976 hectares of HCVs (High Conservation Values).