KEY POINTS
- Oando reports $145 million profit amid lower revenue.
- Higher production volumes drive the company’s rebound.
- The NAOC asset acquisition strengthens Oando’s position.
Oando Plc, one of Nigeria’s largest indigenous oil companies led by Wale Tinubu, delivered a strong financial performance in the first nine months of its 2025 fiscal year, with profit climbing to $145 million despite a decline in overall revenue.
Oando nine-month profit driven by production rebound
According to the company’s interim financial report for the period ending September 30, 2025, profit after tax rose by 164 percent to N210 billion ($145 million) from N76 billion ($52.4 million) a year earlier. The growth was largely fuelled by higher oil production volumes and recoveries from prior operations.
Finance income also added significantly, totalling N368.7 billion ($254.3 million) during the period. This performance came even as revenue slipped 20 percent year-on-year, from N3.19 trillion ($2.2 billion) in 2024 to N2.54 trillion ($1.75 billion) in 2025, largely due to reduced gasoline imports.
Expansion and efficiency strengthen Oando nine-month profit
Operationally, Oando has consolidated its position following last year’s acquisition of Nigerian Agip Oil Company (NAOC) assets. Average production reached 38,121 barrels of oil equivalent per day (boepd), representing a 59 percent increase compared with the same period in 2024. Improved operational uptime and the successful revamp of the company’s natural gas liquids processing plant—running at 82 percent efficiency—boosted overall output.
The company also traded 21 crude oil cargoes, amounting to 19.8 million barrels, compared with 15 cargoes (16.7 million barrels) a year earlier. This reflects stronger execution and more stable supply chains. Notably, Oando halted trading in petroleum motor spirit cargos, a move away from lower-margin products toward higher-value crude and gas ventures.
Group Chief Executive Officer Wale Tinubu described the results as evidence of the company’s transformation since assuming operatorship of the NAOC assets. He said the improved production uptime, now at 82 percent, underpins a 59 percent year-on-year rise in output, marking what he called “the dawn of unlocking the tremendous value our reserves possess.”
Oando expands asset base to $4.67 billion
Listed on both the Nigerian Exchange and the Johannesburg Stock Exchange, Oando operates across the upstream, midstream, and renewable segments. Through its joint venture, Ocean and Oil Development Partners, Tinubu holds an effective 66.7 percent stake in the firm.
According to Billionaire Africa, the company’s total assets increased from N6.43 trillion ($4.43 billion) at the end of 2024 to N6.77 trillion ($4.67 billion) in September 2025. Retained losses narrowed to N88 billion ($60.7 million) from N292.5 billion ($201.7 million), while accumulated reserves climbed from N215.8 billion ($148.8 million) to N262.7 billion ($180.7 million).
Despite lower revenue, Oando’s ability to sustain profitability points to stronger internal efficiencies and a shift toward higher-margin operations—an encouraging sign for investors watching the evolving Nigerian energy sector.
