Aradel Records N259.1bn Net Profit, Declares N95.59bn Final Dividend

Aradel Holdings Plc reported a net tax profit of N259.1 billion in its audited results for the year ended December 31, 2024.

Also, the Company proposed a final dividend of N95.59 billion, representing N22.0 per share for the year under review.

Further analysis of the Company’s financial review showed that revenue increased by 162.8 per cent to N581.2 billion from N221.1 billion in 2023. Cost of sales rose by 185.0 per cent to N224.6 billion as against N78.8 billion in 2023, while gross profits went up to N356.519 billion from N142.332 billion in 2023.

Operating profit stood at N291.4 billion, up 155.5 per cent to N114.06 billion in 2023, while finance costs increased by 89.4 per cent to N22.2 billion compared to N11.7 billion in 2023.

Profit before tax for the period stood at N316.8 billion, up by 182.4 per cent to N112.2 billion in 2023, while profit after tax increased by 382.1 per cent to N259.1 billion from N53.7 billion in 2023. Earnings per share rose by 388.9 per cent to N59.35 from N12.37 in 2023.

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Also, year-to-date growth in total assets of 89.5 per cent to N1.7 trillion compared to N923.4 billion in 2023. Net cash flows used in financing activities rose to N113.8 billion, up 129.0 per cent from N49.7 billion in 2023.

The chief executive officer of Aradel Holdings, Adegbite Falade said, “Aradel Holdings delivered exceptional operational and financial performance in 2024, with revenue rising by 162.8 per cent to N581.2 billion. This remarkable growth was primarily driven by increase in export crude oil revenue, which accounted for over 64 per cent of total revenue.

“The surge was supported by higher production levels, improved utilisation of the Trans Niger Pipeline (TNP), and additional value captured through the Alternative Crude Evacuation (ACE) system.”

He noted that “we completed the acquisition of the Olo and Olo West Marginal Fields from the TotalEnergies/NNPC Joint Venture and secured a 5.14 per cent equity stake in Chappal Energies Mauritius Limited, an energy investment company focused on deep-value and brownfield upstream opportunities across Africa.”

Falade added, “we are pleased to report the successful completion of Renaissance’s acquisition of Shell Petroleum Development Company of Nigeria (SPDC), a landmark transaction that further strengthens our asset base and enhances long-term value creation.

“In line with our growth strategy, we successfully completed our Phase 1, four-well turnkey drilling campaign, delivering positive results.

The commencement of Phase 2 drilling with Well 16 signals continued progress in Aradel’s development and production activities. To support this growth, we expanded our throughput capacity for evacuation channels, positioning Aradel to sustain strong production levels and operational efficiency.”

He also said, “our listing on Nigerian Exchange (NGX) further underscored our growth trajectory, improved share liquidity and advances our commitment to delivering long-term value to shareholders.”