Oando: 9M profit grows to N210bn, stock price down 29.09% YtD

Oando Plc has released its unaudited results for the nine months (9M) ended September 30, 2025. In the review period, the Nigeria’s leading indigenous energy group listed on both the Nigerian Exchange Limited (NGX) and Johannesburg Stock Exchange (JSE) delivered Profit After Tax of N210 billion, a 164 percent increase from N76 billion in the same period of 2024.

The company linked the performance to stronger production volumes, and operational efficiency. The Group’s revenue declined by 20 percent year-on-year (YoY) to N2.5 trillion from N3.2 trillion in 9M’2024. The company linked this revenue dip primarily due to reduced gasoline imports following the ramp-up of the Dangote Refinery, a development that has reshaped Nigeria’s refined-product market for good.

Gross profit stood at N113 billion, representing a 42 percent decline and reflecting shifts in market dynamics and the Group’s evolving segment mix.

The share price of Oando Plc at N46.80 as at October 30 shows it has decreased this year by 29.09 percent. NGX trading data showed that Oando stocks had reached a 52-week high of N80.7 as against a 52-week low of N35.75. As at 12.52 pm on October 31, the stock was trading at N51.4, representing N4.6 or 9.83 percent gain against the previous day’s close.

Wale Tinubu, Group Chief Executive, Oando Plc stated: “In the first nine months of 2025, we consolidated the gains achieved following our acquisition of NAOC’s assets last year. Our assumption of operatorship has been transformational, granting us the agility to act decisively and execute with precision in driving production growth and operational efficiency.”

Read also: Oando swings to profit on impairment reversal despite Q2 losses

He added that the Group achieved a 59 percent year-on-year increase in crude oil and gas production, now averaging 38,121 boepd, underscoring the impact of the NAOC acquisition and clear evidence of the beginning of the dawn of unlocking the tremendous value its reserves possess.

During the period the company reported a surge in oil and gas output and continued operational gains, signaling strong momentum across its upstream operations for the nine months ended September 30, 2025.

To sustain its growth drive, Oando upsized its Reserve-Based Lending (RBL 2) facility to $375 million, strengthening its financial flexibility and supporting the accelerated development of its 1 billion barrels of oil equivalent (boe) upstream portfolio. The company also renegotiated key credit facilities on more favorable terms, extending repayment periods to free up liquidity and fund its ongoing drilling programme.

The indigenous energy giant said group production averaged 38,121 barrels of oil equivalent per day (boepd), up 59 percent year-on-year, in line with its full-year guidance. The performance was driven by the consolidation of its Nigerian Agip Oil Company (NAOC) joint venture interest and improved asset uptime across its operated portfolio. Oando noted that the revamp of its NGL processing plant played a key role in the improved performance, delivering 82percent operational uptime and boosting recovery and reliability across production assets. The company also completed the Obiafu-44 gas-condensate well, which was brought onstream in October, and advanced surface facility upgrades to minimize downtime and enhance flow efficiency.

In a bid to expand its regional and global footprint, the company was awarded operatorship of Block KON 13 in Angola, marking its strategic entry into the Kwanza Basin and was selected as the preferred bidder for the Guaracara Refinery in Trinidad & Tobago, signaling its entry into the Caribbean downstream market.

In the downstream, Oando’s trading subsidiary lifted 21 crude cargoes (19.8 MMbbl), up from 15 cargoes (16.7 MMbbl) in the same period last year, following a deliberate strategic pause as the Division rebalanced its portfolio towards higher-margin crude and gas trading opportunities.

With output rising and new international assets in play, analysts say Oando appears firmly on track to consolidate its leadership among Africa’s indigenous oil and gas players, even as it continues to pursue diversification into clean energy and mining ventures.

In its clean energy division, the company advanced its electric mobility, solar, and recycling initiatives, progressing development of a 1.2GW solar PV assembly plant, completing a techno-economic study for a 6MW geothermal pilot, and securing land for a 2,750-ton-per-month PET recycling facility.