State Trading Organization (STO) has announced that the company has made a net profit of MVR 95 million in the third quarter of 2019.
The quarterly report released by STO states that the company has made a 25% increase compared to the 2nd quarter of this year.
Total revenue decreased in the 3rd quarter due to the fall in revenue from the fuel segment as a result of the reduction in average selling price, compared to the 2nd quarter of 2019. The trading segments (non-fuel) reported an increase in revenue which is counteracted by the fall in fuel revenue.
While STO has made an income of MVR 2.2 billion, this is a drop from the 2nd quarter where the company made MVR 2.3 billion.
Despite the decrease in revenue of the fuel segment, improved performance was witnessed in non-fuel segments which led to a higher gross profit in the 3rd quarter. 3rd quarter gross profit increased by MVR 14 million compared to the previous quarter.
The increase in gross profit and lower operational expenses increased the net profit for the 3rd quarter of 2019 while net profit before tax increased by MVR 20 million compared to the 2nd quarter of 2019.
