Vivo Energy Mauritius keeps growing amidst dollar rise
Lower volatility in oil prices proved favourable for Vivo Energy Ltd, which reported a growth in gross profit by 3.7% to Rs 197.4 mn for the quarter ended March 2015, despite a declining sales level, as cost of sales was more than correspondingly lower for the quarter. (Image: Company)
Vivo Energy Ltd Mauritius, which is engaged in the distribution of fuel and lubricants for the Shell brand, reported a 3.7% rise in its gross profits to Rs 197.4 million for the quarter ended March 2015. This increase was achieved on the back of reduced volatility in world oil prices as well as reversal of some stocks losses of the previous quarter.
Even thought sales were lower by 24.2% against the corresponding period in 2014, the decrease in cost of sales by 26.0% to Rs 2.2 billion led to an increase in gross profit given that gross profit margin was at 8.3% compared to 6.1% for the same period in 2014.
The extension of the entity’s participation in the joint venture of warehouses at the airport allowed Vivo Energy Mauritius to increase its income. On a general note, the operational profits are in line with figures registered last year, which amounted to Rs 90.9 million, representing a 1.5% rise.
For the Managing Director of Vivo Energy Mauritius, Kiran Juwaheer, the good results are the fruits of rigorous financial discipline. He underlines: “Our capacity is utmost in terms of reconciling both our imperatives – which consist of constantly answering consumer expectations and generating value for our shareholders.”
For the period under review, Vivo Energy Mauritius’s business was marked by Shell Gas Lite introduction, a cylinder in composite material that charmed households since it is lighter in weight and is extremely handy.
Another important development, which also took place in the first quarter, was the launch of the Food Lovers Market at the gas station of Shell in Artillery.
Moreover, the execution of investment plans continued with the recent opening of a new Shell gas station in Long Mountain.
The preservation of the good financial health of Vivo Energy Mauritius is not new either to its policy concerning health, security, safety and environment (HSSE).
Finally, the mission of 1000 consecutive days without incident nor accident reached last year, breathed fresh life into the operational plans at every level of the company.
Future developments of the company comprise the construction of the 15,000 metric tons depot by oil industry major Mer Rouge Oil Storage Terminal Co Ltd (MOST), which is already in progress.