State Trading Organisation (STO) has posted a net profit of MVR 169 million for the first quarter of the current fiscal year — a 13.5% decline compared to the same period last year.

According to the company’s latest financial statements, revenue for the quarter reached MVR 4.02 billion, up 4.6% from the MVR 3.84 billion recorded in the final quarter of the previous fiscal year. The increase was driven by higher oil sales and stronger performance in general trading, healthcare, and construction materials.

Despite the revenue growth, operating profit dropped to MVR 263 million — down from MVR 300 million in the previous quarter and MVR 308 million in Q1 of last year.

STO attributed the fall in profitability to stabilising global oil prices and rising operational costs, which squeezed margins across several business lines.

The company said overall performance remains within expected levels.

STO is one of the largest state-owned enterprises in the Maldives, playing a major role in fuel supply, pharmaceuticals, construction materials, and catering. Its performance remains closely tied to global markets and local economic trends.