The State Trading Organisation (STO) recorded a net profit of USD 18.2 million in the second quarter of this year, the company’s financial report has shown. This represents a 71 per cent increase compared with the same quarter last year.
The financial report published by STO shows that the company generated USD 452.7 million in revenue during the second quarter. This was a 27 per cent increase compared with the previous quarter, when the company recorded revenue of USD 355.4 million.
STO recorded USD 21.7 million in profit before tax during the quarter. This was 1.4 per cent higher than the USD 21.4 million recorded in the first quarter of this year.
After tax, STO recorded a net profit of USD 18.2 million in the second quarter. This was 1.2 per cent higher than the USD 17.9 million in net profit recorded during the first quarter of the year.
STO said the main reason for the increase in revenue was the rise in global oil prices amid the conflict in the Middle East.
Although the rise in oil prices increased the company’s revenue, the Government and STO worked to control fuel prices in the Maldivian market. As a result of keeping the prices of fuel supplied to the public relatively stable, fuel margins declined and the company’s total profit from its fuel business decreased.
However, STO said the impact on its overall profit was reduced by an increase in profits generated from the company’s other business activities.