Vivo Energy bucks industry trend to post 13% increase in 2023 profit
TLDR
- Vivo Energy Côte d'Ivoire demonstrates strong recovery and growth with a significant 13% profit increase in 2023.
- Operating expenses managed effectively, resulting in a 5% reduction, contributing to the positive outcome.
- Company's turnover also rises by 13%, reaching 550.7 billion FCFA, driven by price increases, network expansion, and customer acquisition.
Vivo Energy Côte d'Ivoire continues to affirm its recovery trajectory, a trend observed since 2021. In contrast to other participants in the hydrocarbon sector of the BRVM experiencing declines, Vivo achieved a notable 13% increase in profit, amounting to 4.01 billion FCFA ($7 million) in 2023.
This positive outcome was facilitated by enhanced management of operating expenses, resulting in a 5% reduction from 48.17 billion FCFA to 45.96 billion FCFA in 2023. Furthermore, the company's turnover mirrored this growth, reaching 550.7 billion FCFA compared to 488.90 billion FCFA in the preceding year, reflecting a parallel increase of 13%.
This surge is attributed to various factors, including an 8% rise in pump prices for super unleaded, 2% for oil, and 5% for diesel, alongside a 7% expansion of the service station network and the acquisition of new customers.
Key Takeaways
In 2023, Vivo Energy CI witnessed a sharp decline in financial results, with a significant drop of 198% to reach -2.03 billion FCFA. This decrease can be attributed to heightened financial costs, stemming from increased utilization of overdraft lines, compounded by a rise in overdraft rates implemented by banks. Regarding the company's dividend distribution policy, no official communication has been issued thus far. Additionally, Vivo Energy CI recently disclosed its financial performance for the first quarter of 2024. Notably, the company reported a noteworthy 10% growth in turnover, amounting to 149.43 billion FCFA. Furthermore, there was a remarkable 48% increase in net profit, reaching 1.29 billion FCFA for the same period. This improvement in net profit is attributed to heightened sales volumes and enhanced control over operating expenses and risks.
Think someone else should see this?
To invest in this opportunity and other opportunities across Africa
Download the daba finance app on your mobile through
Take action.
Download app
Start investing in Africa’s best opportunities, including stocks, bonds, startups, venture funds, and more.
Partner with us
Unlock exciting business opportunities and growth potential.
Join Daba
Become a part of our vibrant community and enjoy exclusive benefits.
Contact us
Reach out to us for inquiries, support, or collaboration.