How Engen Botswana makes and spends its P3.43 billion revenue

Good morning 😃🌞☀️

Today we are continuing our conversation on how companies make and spends their money like we did in the previous weeks, this time looking at Engen Botswana .

Let’s get into it;

How Engen Botswana Makes and Spends Its Money:

Revenue: How Engen Botswana Makes Money

Engen Botswana is in the petrochemical industry, which means its revenue comes from selling fuel, lubricants, and other petroleum-based products. Based on the latest reported earnings:

Revenue: P3.43 billion

Cost of Sales: P3.09 billion

 Gross Profit: P341.73 million

Expenses: Where the Money Goes

After subtracting the cost of sales, the company still incurs additional expenses before arriving at its final earnings. The main operating expenses include:

Expenses:P223.71 million

Sales & Marketing: P117.39 million

Non-Operating Expenses: P90.73 million

 General & Administrative: P15.59 million

Final Earnings

After accounting for all expenses, Engen Botswana’s earnings stand at P125.21 million. This represents the net profit available for reinvestment, dividends, or other strategic decisions.

And finally

Engen Botswana’s business model is straightforward, but the key to profitability lies in managing costs and maintaining competitive margins. As an investor, tracking expense trends and profit growth will give you better insight into its long-term value.