March 3, 2025

Regency Petroleum Limited (RPL)

Audited financials for the twelve months ended December 31, 2024:

Regency Petroleum Limited (RPL) for the twelve months ended December 31, 2024, reported a 76% increase in Operating Revenue totaling $1.63 billion compared to $928.76 million in the corresponding period last year. Operating Revenue for the fourth quarter had a 22% increase to close at $349.92 million compared to $286.53 million for the comparable quarter of 2023.

Direct expenses amounted to $1.38 billion (2023: $807 million), this represents an increase of 71% year over year. Consequently, gross profit increased by 104% to $248.41 million compared to $121.76 million for the twelve months ended December 31, 2023. The company booked gross profit of $51.53 million for the fourth quarter versus $23.59 million reported for the similar quarter of 2023.

Administrative Expenses increased by 110% to close at $151.83 million (2023: $72.30 million), while Selling & Distributive Expenses increased by 48% from $1.41 million in 2023 to $2.09 million in the period under review. As a result, operating profit for the twelve months ended December 31, 2024 amounted to $95.42 million, a 93% increase relative to $49.54 million reported in 2023.

Profit before Finance Cost for the twelve months ended December 31, 2024, amounted to $95.42 million, a 93% increase relative to $49.54 million reported in 2023. Profit before Finance Cost for the fourth quarter amounted to $8.99 million (2023: Loss before Finance Cost of $6.97 million). Finance Costs totaled $8.38 million, a 122% increase from the corresponding period last year. (2023: $3.78 million).

Pretax Profit for the twelve months ended December 31, 2024, amounted to $87.05 million, a 90% increase relative to $45.76 million reported in 2023. Pretax Profit for the fourth quarter amounted to $5.07 million (2023: Pretax loss of $7.67 million).

No tax charge was incurred for the twelve months ended December 31, 2024 (2023: Nil) . Net Profit for the twelve months amounted to $87.05 million, a 90% increase from the $45.76 million reported in 2023. For the fourth quarter, Net Profit was $5.07 million (2023: Net loss of $7.30 million).

Consequently, Earnings Per Share for the twelve months amounted to $0.06 (2023: EPS: $0.03), while Earnings Per Share for the quarter totaled $0.004 (2023: LPS: $0.01). The number of shares used in these calculations was 1,435,786,770.

Notably, RPL’s stock price closed the trading period on February 28, 2025 at a price of $3.34 with a corresponding P/E ratio of 55.09x.

Balance Sheet Highlights

The company’s assets totaled $883.58 million (2023: $704.94 million). The movement in total assets was mainly influenced by a 165% increase in ‘Deferred expenditure’ amounting to $170.75 million (2023: $64.54 million) and a 1218% increase in ‘Right of use asset’ amounting to $82.07 million (2023: $6.23 million). Additionally, there was $54.62 million increase in ‘Plant, property and equipment’ amounting to $490.41 million (2023: $435.79 million).

Shareholder’s equity was $521.45 million (2023: $434.79 million), representing a book value per share of $0.36 (2023: $0.30).

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