JT Grup Oil close to meeting 2024 profit target despite sluggish revenues

JT Grup Oil (BVB: JTG), the Romanian petroleum products distribution group that is developing a EUR 25 million oil terminal in Constanta port to boost the diesel imports, announced its net profit surged by 80% y/y to RON 10.3 million (EUR 2 million) in 2024 – close to the RON 11.8 million target set under the Prospectus issued at the company’s IPO in mid-2024.

The performance was achieved despite below-planned revenues: RON 222.5 million revenues from the sale of merchandise, only 2.5% y/y advance compared to planned RON 331.6 million (+49% y/y) under the Prospectus.

According to the 2024 FY, JT Grup Oil estimates that the new terminal will be fully operational by the end of this year – compared to a mid-January 2025 estimate last August. Earlier this year, the company announced it settled a dispute in court with the contractor for the project.

JT Grup Oil has a market capitalisation of RON 129 million (EUR 26 million) after the price of its shares dropped by 8.5% over the past six months as of April 30.

Last September, the company announced that its shareholders had approved the distribution of a dividend of RON 3.15 million (EUR 0.63 million) from the accumulated retained profit recorded in 2023, resulting in a dividend yield of 2.44%.

(Photo source: the company)