Total Nigeria Plc has recorded 29.3 per cent revenue decline for its half-year financial result for the period ended June 2020.
The company revenue dropped sharply to N106bn year-on-year as the measures taken to contain the spread of the COVID-19 pandemic within the period which bit deeply into the company’s performance.
Total also recorded loss before tax of N523.9m against profit before tax of N202m reported the previous year.
The company which reported a profit after tax of N130m in the same period in 2019 posted a loss after tax of N537m at the half-year result this year.
Financial analysts with United Capital said that the weaker economic activities triggered by the COVID-19 pandemic which sparked a series of strict measures on the movement of people in the second quarter accounted for the abysmal performance.
They explained that economic lockdown, cancellation of international and local flights, the shutdown of businesses, and other public centres, as well as a ban on interstate travel, constitutes about 78.5 per cent of Total’s revenue.
The company report showed that the harsh operating environment affected its performance as sales to service stations which makes 71.0 per cent of revenue declined by 28.2 per cent year-on-year to N75.8bn while its general trade segment (sales to corporate customers excluding the aviation sector) which accounted for 24.0 per cent, fell by 19.2 per cent year to N25.6bn while its aviation segment that brings about five per cent of revenue recorded low performance, declining by 60.7 per cent to N5.3bn.
