National Energy profit falls 33% to $58.9m

National Energy Corporation has recorded $58.9 million in after-tax profit, a decline of 33 per cent, for the fiscal year ending December 31, 2020.

In its year-end report published on Tuesday, National Energy said the decline in performance was a result of lower operating revenue due to the negative impact of covid19 on the global economic environment.

“National Energy recorded a profit before tax of TT$94.75 million in 2020 as compared to TT$138.06 million for 2019. Profit after tax of TT$58.97 million was 33.1 per cent lower than the profit of TT$88.12 million recorded for 2019.”

It also said total revenue decreased by 14.2 per cent to $308.46 million from $359.34 million in 2019. Expenses for 2020 increased by one per cent to $231.9 million when compared to 2019 which was $229.7 million, due to higher vessel operating costs.

Chairman Conrad Enill said the company remained cognisant that to grow the business, National Energy's services must be offered in new areas and the sustainable energy future must be embraced.

“Our Guyana office will continue to act as the conduit for positioning and marketing the NGC Group’s services throughout the Guyana-Suriname basin.

“Labidco plays a unique role in providing industrial land, port, logistics, and bio-remediation services, all at competitive prices for the La Brea Industrial Estate. It is envisioned that this strategic move will strengthen the company’s governance structure to better achieve its mandate.”

One of the main sources of revenue for National Energy is the use of its ports and piers — Port of Galeota, Port of Brighton and the Savonetta piers which service the petrochemical plants on the Point Lisas Industrial Estate.

National Energy said revenue from the ports and piers were significant for commercial division revenue.

The Port of Galeota’s revenue was $13.93 million, 6.17 per cent above the revised budgeted figure of $13.12 million. — a 4.29 per cent contribution to overall commercial division revenue.

The Port of Brighton, however, recorded a revenue of $10.7 million, 10.61 per cent under the revised budgeted amount of $11.97 million. The figure contributed 3.5 per cent to overall commercial division revenue.

Savonetta piers achieved a revenue of $139.08 million, 1.26 per cent increase of its target of $137.35 million. This added 45.54 per cent to overall commercial division revenue.