ESLA Plc witnesses GHS 4.2bn decline in assets value YoY
ESLA Plc, the Special Purpose Vehicle (SPV) incorporated to address Ghana’s energy sector debts, experienced a notable setback in its financials, reporting a significant decline in total assets value at the end of Q3 2023.
The company’s total assets stood at GHS 5.3 billion, marking a substantial decrease from the previous year’s figure of GHS 9.5 billion.
The decline in total assets can be attributed to a drastic reduction in non-current assets, which plummeted to GHS 629 million from GHS 5.7 billion at the end of Q3 2022. In contrast, current assets showed some growth, reaching GHS 4.7 billion from GHS 3.8 billion year-on-year.
However, despite the improvement in current assets, it proved insufficient to offset the decline in the non-current assets segment.
ESLA Plc’s liabilities, on the other hand, witnessed a remarkable reduction, totaling GHS 5 billion at the end of Q3 2023, down from GHS 9.2 billion in the corresponding period last year.
Both current and non-current liabilities exhibited a decline, standing at GHS 358 million and GHS 4.6 billion, respectively, compared to GHS 592 million and GHS 8.7 billion in the previous year.
During the review period, ESLA Plc’s total comprehensive income declined from GHS 69.8 million to GHS 51.9 million at the end of Q3 2022 and Q3 2023, respectively.
The recorded total comprehensive income translates to earnings per share of GHS 51.9.
As a crucial SPV, ESLA Plc issues long-term bonds backed by a component of the ESLA receivables to address the country’s energy sector debts owed to banks and trade creditors.
Market participants will closely monitor the company’s financial performance and its ability to navigate the prevailing economic conditions. ESLA Plc’s efforts to manage its liabilities prudently and enhance its asset base will be pivotal in restoring investor confidence and ensuring financial sustainability.
