Caverton Offshore Support, a prominent marine and aviation logistics firm, has witnessed its share price skyrocket by more than 65% month-to-date on the Nigerian stock market.
The company, which serves the oil and gas sector across Nigeria and sub-Saharan Africa, has been buoyed by positive market sentiment following its announcement to integrate electric outboard engines from ExploMar (Suzhou) into its marine ferries.
The stock reached a peak of N2 this week, spurred by bullish trading and heightened market activity.
Trading volume more than doubled in the second week of September, reflecting a surge in investor confidence.
Caverton’s shares had previously dipped to N1.30 in June from a high of N1.80 in March.
However, the stock began its recovery in July as market sentiment improved.
By mid-September, Caverton’s stock had climbed to above N2.20, reflecting a robust 65% increase month-to-date.
The company’s strategic partnership with ExploMar (Suzhou) Energy Technology Co. Ltd., which focuses on integrating electric outboard engines into its passenger boats, has further energized investor optimism.
This initiative aligns with the global trend towards sustainable transportation and has been favourably received by the market.
Key indicators
Caverton reported a 24.8% year-over-year increase in revenue for Q2 2024, rising from N7.6 billion in 2023 to N9.4 billion in 2024.
Pre-tax profit soared to N2.2 billion, a substantial leap from N184.6 million reported in the previous year.
Earnings per share also saw impressive growth, reaching N0.67 in 2024 compared to N0.06 in 2023.
Additionally, the company’s cash and cash equivalents surged by 881.1%, climbing to N13.4 billion in 2024, compared to N1.3 billion the previous year.
In August, Caverton announced a strategic partnership with China-based ExploMar (Suzhou) Energy Technology Co. Ltd. to integrate electric outboard engines into its newly launched passenger ferries, branded as OMIBUS.
The CEO of Caverton Offshore Support Group, Bode Makanjuola emphasized the significance of the partnership, stating “This agreement with ExploMar represents a significant milestone in our journey towards sustainable maritime operations. By leveraging ExploMar’s cutting-edge technology, we are setting new standards for passenger ferry services in Nigeria and demonstrating our commitment to a greener future.”
