Caverton Offshore Support Group (COSG) Plc
Caverton Offshore Support Group (COSG) Plc, provider of marine, aviation and logistics services to local and international oil and gas companies in Nigeria, has announced a revenue of N12.5 billion for the half year ended June 30, 2014, showing an increase of 21 per cent above the N10.3 billion posted in the corresponding period of 2013.
However, profit before tax declined by 32 per cent from N3.82 billion to N2.60billion while profit after tax fell by 12 per cent from N1.79 billion to N1.59 billion. But total assets grew by from N38 billion to N41.9 billion, showing increase of 10 per cent.
Speaking on the results, the Chief Executive Officer of COSG, Mr Bode Makanjuola said: “We are pleased to report a steady progress in the first half of the year as revenue grew 21 per cent year-on-year driven by growing demand for helicopter charters that complemented our recurring revenues from fixed contracts.
“In addition we delivered improved operating performance as our operating and administrative costs fell from 79 per cent of revenue excluding other operating income to 75 per cent. Overall, the outlook remains positive and we expect to meet our growth targets for the full year.”
Makanjuola noted that the company’s strategic plans remain on course.
He said: “The recent addition of our seventh AW 139 helicopter illustrates our delivery on our fleet expansion strategy. This serves as a boost to our aviation business and positions us on track to service our growing portfolio of contract tenders. Most pleasing is the recent award of a two-year contract extension with Total Oil company, which gives us confidence in our capabilities for increased activities in the oil and gas sector,” he said.
Makanjuola disclosed that the company is also making progress on plans to diversify its income base.”
He added: “In partnership with CAE , we have embarked on building the first aviation training centre and aviation maintenance, repair and overhaul services in Nigeria which we plan to launch in 2015. Furthermore, we shall continue to explore our options for opportunities to increase our market penetration in other sub-Saharan African countries. We are confident that our cost control measures combined with the roll-out of our strategic growth plan positions us to improve profitability thereby adding significant value to the Group and for our shareholders.”
COSG went public on May 20 this year, becoming the first oil and gas services company to be listed on the Nigerian Stock Exchange (NSE), a move seen as a boost for both the local content policy of the federal government and the diversification plans of the exchange.