Caverton Suffers N50.53bn Loss in 2024.

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Caverton Offshore Support Group Plc has reported a staggering loss of N50.53 billion for the financial year ended December 31, 2024, a significant decline from the N12.89 billion loss recorded in 2023.

The company’s unaudited financial statement filed on the Nigerian Exchange Limited revealed that the downturn was primarily driven by a net exchange loss of N43.49 billion, reflecting the impact of foreign currency translation amid Nigeria’s volatile forex market.

Despite the loss, Caverton saw a 42.7% increase in revenue, reaching N45.64 billion in 2024 from N31.99 billion in 2023. However, operating expenses surged by 28.6% to N31.93 billion from N24.82 billion, while administrative expenses also increased by 12.4% to N12.07 billion from N10.74 billion, further pressuring profitability.

The company suffered a significant setback from foreign exchange losses, which soared to N43.49 billion from N4.65 billion in the prior year, an 834.7% increase. Caverton’s finance costs rose to N8.81 billion, reflecting a 51.3% increase from N5.82 billion in 2023, further deepening its loss position.

Consequently, profit before tax plummeted to N50.53 billion, compared to N12.66 billion in the previous year. The company reported basic earnings per share of N15.08, a decline from N3.85 recorded in 2023, indicating worsening returns for shareholders.

Loss attributable to owners of the company stood at N50.02 billion, while non-controlling interest loss amounted to N505.3 million. Its total assets declined 30.9% to N54.81 billion from N79.32 billion in 2023.

Commenting on the result, the group’s Chief Executive Officer, Bode Makanjuola, highlighted the company’s ability to navigate economic headwinds while maintaining a steady performance. “Despite the unprecedented shifts in Nigeria’s economic landscape, the company achieved a positive operating profit exceeding N9bn, underscoring the strength and adaptability of its business model,” he said.

Makanjuola pointed out that Caverton’s two core operating sectors, where the company holds a dominant position, remain highly sensitive to macroeconomic pressures. “While the operating environment has been difficult, the results demonstrate the inherent resilience embedded in our business strategy,” Makanjuola added.

“Despite the headwinds, we continue to focus on strengthening our operational efficiencies and capitalizing on strategic opportunities to deliver value to our stakeholders.” The CEO also reassured stakeholders of the company’s commitment to navigating these challenges and positioning itself for sustainable growth in the future while maintaining a strong presence in both the charter flight and marine operations sectors.

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