The Nigerian National Petroleum Corporation (NNPC), has published the Audited Financial Statements (AFS) of two hundred and eighty-seven billion Naira (N287bn) Profit After Tax (PAT) in the year 2020, on its official website.
This was to consolidate the achievement following the announcement of profit declaration by President Muhammadu Buhari.
It would be recalled that while announcing the remarkable feat a little over a fortnight ago,
President Muhammadu Buhari, who is also the Minister of Petroleum Resources said, “I have further directed the Nigerian National Petroleum Corporation to timely publish the Audited Financial Statements in line with the requirements of the law and as follow up to our commitment to ensuring transparency and accountability by public institutions.”
In compliance with the President’s directive, the NNPC has fulfilled this very important statutory requirement by publishing its Audited Financial Statements today.
Among the highlights of the 2020 AFS is the Corporation’s group profit which rose from a loss position of N1.7billion in 2019 to a profit of N287bn in 2020, for the first time in 44 years.
The Group Managing Director of the NNPC Mallam Mele Kyari had at various times since the President’s declaration of profit, attributed the turnaround to aggressive cost cutting, automation of the system and renegotiation of contracts downwards by about 30 per cent, among other tough measures.
Further highlights of the AFS indicated that while the Corporation’s group financial position increased in total current assets by 18.7% compared to that of 2019, its total current liabilities increased by 11.4% within the same period.
More so, the group’s working capital remained below the line at N4.56trillion in 2020 as
against N4.44trillion in 2019, the AFS further uncovered.
Similarly, the Corporation’s group revenue for the 2020 financial year stood at N3.718trillion as against N4.634trillion in 2019, a decrease that could be attributed to the decline in the production and price of crude oil due to the global impact of the COVID-19 pandemic.
This is the third consecutive year that the NNPC is publishing its AFS, having done so for 2018 and 2019.
Meanwhile, the full document of the NNPC 2020 AFS is available on the Corporation’s official website. https://nnpcgroup.com/pages/afs2020.aspx