Forte Oil profit falls by 50 percent as costs and taxes rise
Forte Oil, a leading Nigerian petroleum marketing company, has reported that its after-tax profit fell by 50 percent for the full year ended December 31st, 2016.
The company said its profit fell to N2.89 billion compared with N5.79 billion reported in 2015. The decline in profit resulted from a 20.5 percent rise in cost of sales and a 101 percent rise in income tax expense. However, Forte Oil reported that revenue rose by 19 percent to N148.61 billion owing to improved sales of fuels, lubricants and greases, and power generation.
Forte Oil, formerly African Petroleum (AP), operates over 500 fuel service stations across Nigeria. The company also controls Amperion Power Distribution Company Limited, the owner of the 414MW Geregu Power Plant located in Kogi state. Nigerian billionaire, Femi Otedola, owns majority shareholding in Forte Oil.