Oando announces earnings guidance second quarter 2016

Oando Plc, a Nigerian energy company, has announced its earnings guidance for the second quarter of 2016. Here are the key highlights:

Revenue: Oando expects its revenue to decline by 20-25% compared to the same period in 2015, due to the challenging operating environment and the impact of the naira devaluation.

Earnings: The company expects its earnings per share (EPS) to decline by 30-35% compared to the same period in 2015, due to the decline in revenue and the impact of higher operating costs.

Key drivers: The decline in revenue is expected to be driven by a 15-20% decline in crude oil prices, a 10-15% decline in refined petroleum products sales, and a 5-10% decline in gas sales. The company also expects higher operating costs, including a 10-15% increase in personnel costs and a 5-10% increase in other operating expenses.

Strategic initiatives: Despite the challenging operating environment, Oando remains committed to its strategic initiatives, including the expansion of its downstream business, the development of its upstream assets, and the growth of its gas business.

Outlook: The company expects the operating environment to remain challenging in the second half of 2016, but believes that its strategic initiatives will help it to navigate the challenges and deliver long-term value to its shareholders.

Financial highlights: Oando's financial highlights for the second quarter of 2016 are expected to include:

Please note that these are forward-looking statements and actual results may vary.