Nigerian National Petroleum Corporation (NNPC) has released its 2020 audited financial statement.
Gatekeepers News reports that the NNPC, in the report, declared that its profit 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 report which was published on the NNPC official website corroborates President Muhammadu Buhari’s recent announcement about the Corporation’s achievement.
Buhari, who is also the Minister of Petroleum Resources, had in about two weeks ago, 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.”
The NNPC fulfilled the statutory requirement by publishing its Audited Financial Statements on Wednesday.
The Group Managing Director of the NNPC Mal. 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 revealed 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.
The group’s working capital remained below the line at N4.56trillion in 2020 as against N4.44trillion in 2019, the AFS further revealed.
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.
Gatekeepers News reports that this is the third consecutive year that the NNPC is publishing its AFS, having done so for 2018 and 2019.
