The State Trading Organization (STO) has disclosed its financial results for the final quarter of 2023, reporting a revenue of MVR 4 billion. This figure, though substantial, reflects a 3% decrease from the third quarter of the same year.
The total revenue for 2023 amounted to MVR 16.4 billion, marking a 10% reduction compared to the previous year’s total revenue of MVR 18.2 billion. The decline in revenue was primarily attributed to diminished income from the oil business, coinciding with a decrease in the price of crude oil sold by the company following the global oil price revision.
Despite this challenge, positive shifts were noted due to increased sales in the oil sector and other business ventures, resulting in a commendable total profit of MVR 2.7 billion.
In a strategic move to strengthen the company, STO implemented various initiatives, focusing on core businesses and adjusting assets to align with current market values. Rebates were also provided to counter the impact of oil market changes, ensuring stable fuel prices and supporting the fuel supply sector in the Maldives.
The financial report emphasized robust performance in certain areas, particularly in operating profit, which experienced a significant 23% increase from 2022, totaling MVR 1.3 billion. Before-tax profit also demonstrated improvement, reaching MVR 995 million, a 15% increase, with after-tax profit at MVR 819 million. In comparison, after-tax profit in 2022 stood at MVR 728 million.
The figures for the first three quarters of the fiscal year were restated to account for fuel rebates and asset impairment costs during the optimal period, providing a clearer picture of the company’s financial health.
Despite challenges posed by global market fluctuations, STO remains optimistic about its strategic initiatives and the positive trajectory in key financial indicators. The company is committed to navigating the dynamic business landscape and maintaining its role as a vital contributor to the economic prosperity of the Maldives.
