Harare, (New Ziana) – Government-owned oil company,Petrotrade declared a $1.56 million dividend at the end of its 2018 financial year after managing to improve its profitability during the period, the company said on Thursday.
The fuel retailer said its net profit during the period jumped 41 percent to $5.2 million on the back of increased sales volumes which went up to 140.1 million litres from 110 million in 2017.
“Petrotrade revenues increased from $136.8 million in 2017 to $180.6
million in 2018. This was a 32 percent increase,” the firm said.
The company said despite economic challenges the country is facing, it sees itself weathering the storm and remaining viable.
Demand for fuel remained high and above supply, which was constrained by foreign currency shortages, Petrotrade said.
“The possibility of substitutes for main fuels is only possible in the
very long term in the form of electric vehicles,” Petrotrade said.
The parastatal said it was looking at expanding its liquefied
petroleum gas infrastructure so that it is able to effectively compete
in that fuel segment.
Petrotrade said it is in the process of developing four new service
stations to add to the 30 that are operating across the country.
The firm also supplies fuel to 31 dealers across the country and is
looking at widening its market as the country has over 600 fuel selling stations.
Government has already announced intentions to partially privatise the
company, in a move that is expected to facilitate its growth and
Officials in the Ministry of Energy and Power Development say the
process of finding a suitable international investor is underway.