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BOST records GH¢164 million profit after tax

Bost Signage Signage at BOST Headquarters in Accra | File photo

Tue, 23 Aug 2022 Source: atinkaonline.com

The profit after tax of The Bulk Oil Storage and Transportation Company (BOST) increased to GH¢164 million in 2021 from GH¢2 million in the year 2020. This implies that the profit after tax of the firm grew 82 times compared to the 2020 figure recorded.    

The growth has been described by financial experts and stakeholders as remarkable.

Among other things, the administrative expenses of BOST recorded a drastic reduction over the period with a record of Ghc 228.1million in 2021 with staff strength of 496 compared to a sum of Ghc 538.3 million recorded in 2016 as administrative expenses with staff strength of 347. The drastic reduction in administrative expenses is attributed to the prudent management of operations by the current management team.

 The company paid about US$611 million out of a debt portfolio of US$622.7 million dollars. The remaining US$11.7 million dollars is expected to be cleared by the end of next year, according to Marlick Adjei, Head of Corporate Communications and External Affairs at BOST.

Out of the payment, the company’s internally generated funds (IGF) accounted for 70 percent ($426 million), with the government providing 30 percent through the Energy Sector Levy Act (ESLA) bond, he explained.

In 2021 BOST generated a revenue of about GH¢1.12 billion compared to GH¢632.7 million recorded in 2020. BOST is also undertaking initiatives to stay on track in the execution of its mandate.

These include the rehabilitation of 12 of its 15 storage tanks which stood decommissioned as at January 2017, revamping of its transmission lines and the rehabilitation of the tugboat and barges, which are all contributing to the revenue streams of the company.

This has kept the firm active and is presently exporting petroleum products to Mali. The company’s export to Mali has grown from 0.3 percent in 2019 to six percent, a remarkable achievement.

The company was ranked 8th on the Public Enterprises League Table in 2020.

According to the Head of Corporate Communications and External Affairs, the 2021 results speak volumes and the company is expected to be counted among the first five properly run State Owned Enterprises in the country.

Source: atinkaonline.com
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