STO records strong revenue growth in Q2 while profit rises only one percent

The State Trading Organization (STO) posted a net profit of MVR 280 million in the second quarter of this year, up just one percent from the first quarter, according to newly released financial figures.

STO on Wednesday published its second quarter financial position.

According to the report, the company posted a net profit of MVR 276 million in the first quarter, which increased slightly to MVR 280 million in the second quarter.

The company’s total revenue rose to MVR 6.98 billion in the second quarter from MVR 5.49 billion in the first quarter.

Revenue increased 27 percent quarter-on-quarter due to higher oil sales following price adjustments in the global market. 

In addition to the oil business, the company’s other sectors also recorded positive changes in revenue, the report said.

STO has expanded its oil operations by purchasing an additional oil tanker in the first quarter to strengthen its operations and infrastructure.

The company has also increased its investments in treasury bills and term deposits to secure long-term financial returns.

STO said it will continue to provide uninterrupted supply of essential goods and services to the Maldives despite changes in the global political environment and challenges facing the supply chain. The company said it aims to grow its business in a sustainable manner for the rest of the year.