Caverton Group Records 16% Growth in Total Assets to N78.3bn

Caverton Offshore Support Group Plc, has announced a 16 per cent growth in its assets base from N67.51billion in the financial year ended December 31, 2021 to N78.33billion in the same period in 2021.

The increase in the Group’s Total Assets in the review audited financial year was attributed to its capabilities to weather the prevailing economic storm in the period and move forward stronger and better.

The Caverton Group’s Asset base has enjoyed consistent growth in the last five years. Total Assets grew from N46.25billion as at the end of the financial year in 2017 to N57.98billion in 2018 and further moved to N65.84billion in 2019. Despite the scourge of the Covid-19 in the 2020 financial year, Total Assets attained N67.51billion.

Relatedly, the Group’s Total Annual Revenue maintained a consistent growth in five years (2017-2021) from N20.54billion in 2017 to N34.76billion as at December 31, 2021.

Total revenue stood at N33.21billion in 2018 and grew to N34.98billion in 2019. In the Covid year, 2020, growth remained positive, albeit marginal drop to N32.17billion. 

Meanwhile, Profit after Tax  (PAT), which recorded a positive growth until 2019, witnessed a drop in 2020 due to Covid impact. However, PAT dropped into the negative threshold in the review financial year ended December 31, 2021.  PAT stood at -4.34billion as at December 31,2021 as against N1.18billion in 2020.

Speaking about the group’s performance during the Annual General Meeting (AGM), held by proxy in Lagos, Chief Executive Officer, Caverton Offshore Support Group Plc, Mr.  Olabode Makanjuola, said: ” Despite the poor results, Caverton was able to utilize its cash reserves to accommodate the losses and remains cautiously optimistic for improved fortunes for shareholders in the coming year(s).”

Also commenting on the results, Chairman, Caverton Offshore Support Group Plc, Aderemi Makanjuola said the Group remain focused as the leading provider of oil and gas logistics in the Nigerian oil sector. He disclosed that Caverton will continue to strive to provide safe and efficient service to its clients whilst utilising its reserves to accommodate the accrued loss recorded in 2021.

On the way forward for the business, he noted: “We will explore further opportunities within and outside the oil and gas sector to further boost revenues and focus further on third party training and maintenance.”

Further on the Group’s business outlook, Makanjuola disclosed that three new contracts were added to its operations in 2021.  The TOTAL ad-hoc contract has been extended for an additional one year and will end in January 2023; we continued to maintain our major contracts with other IOCs.”

Commenting on the performance of Group, shareholders commended the board and management for the results. Mr. Alex Adio of the Dynamics Shareholders Association however urged the company to reduce cost of operations and demanded for sustainable growth. He wanted the company to reduce its borrowings. Mrs. Bisi Bakare urged the management to go after more contracts for better revenue and profit even as she called for effective cost management.