2025 Unaudited Results: Oando Posts 32% Output Growth, Records N3.21tn Revenue

Profit after tax up 10% to N241.3bn

Firm realises $17.7m in cost savings across key operating inputs

Emmanuel Addeh in Abuja and

Oando Plc, one of Africa’s leading indigenous energy solutions providers, yesterday published its unaudited results for the full year ended December 31, 2025, announcing a 32 per cent year-on-year increase in production by its upstream business and averaging 32,482 barrels of oil equivalent per day.

The growth, a statement from the company said, was driven by a 36 per cent increase in crude oil production to 11,269 bpd, a 24 per cent increase in gas production to 19,982 boepd, and a 715 per cent increase in Natural Gas Liquids (NGL) production to 1,231 bpd.

The Group attributed the production growth to the full-year consolidation of the NAOC JV interest, improved operational uptime resulting from the reactivation of previously constrained wells, and targeted infrastructure upgrades across operated assets.

Besides, Oando reported a 10 per cent increase in profit after tax to N241.3 billion compared to N220.1 billion in 2024, supported by higher upstream production, impairment reversals, and favourable tax adjustments.

However, revenue declined 21 per cent to N3.21 trillion from N4.09 trillion in 2024, while gross profit decreased 82 per cent year-on-year to N27.8 billion, down from N155.9 billion in 2024, the company said.

According to Oando, these declines in earnings reflected the company’s change in revenue mix as it scaled back high-turnover, lower-margin refined-product trading in favour of higher-margin crude and gas trading opportunities, as well as the impact of non-cash items.

Commenting on the full year-end 2025 unaudited results, Group Chief Executive, Oando PLC, Wale Tinubu, said that the company materially improved uptime

“2025 was a year of relentless execution as we successfully transitioned from the integration of the NAOC Joint Venture into operational delivery, while its operated Joint Venture  production averaged approximately 80,545 boepd.

“Over the year under review, we reinforced asset integrity, strengthened security across our operating areas, and materially improved uptime, delivering a 32 per cent year-on-year increase in total production.

“Operated Joint Venture production averaged approximately 80,545 boepd, translating to 32,482 boepd net to Oando, alongside a 30 per cent increase in crude oil lifting and a 59 per cent increase in gas sales volumes.

“Building on this foundation, we launched our development drilling programme with the successful completion and start-up of the Obiafu-44 gas-condensate well. This well represents the first execution milestone within a phased 36-well development programme, designed to restore field deliverability, unlock incremental production and advance the Group’s medium-term growth objectives,” the Oando chief executive stated.

Within its trading business, the Group recorded a 42 per cent increase year-on-year in crude oil cargos traded, rising to 26 crude oil cargos (29.4 MMbbl) compared to 21 cargos (20.7 MMbbl) traded in 2024. During the period, Oando said it deliberately paused Premium Motor Spirit (PMS) trading in response to structural changes in Nigeria’s domestic downstream landscape.

While this rebalancing resulted in a short-term reduction in reported earnings, Oando stated that it aligns with the Group’s longer-term focus on margin quality and capital efficiency.

Tinubu added: “In our downstream trading business, we responded decisively to evolving market dynamics by deliberately rebalancing our portfolio away from gasoline importation toward higher-margin crude and gas opportunities. We expanded global exports and leveraged structured offtake and pre-export financing arrangements to support liquidity, cash-flow resilience, and effective production monetisation for our clients.”

The period under review, Oando explained, showcased the company’s transition from asset integration following the acquisition to a decisive assumption of operatorship, evidenced by strong upstream performance.

Besides, Oando stated that capital expenditure increased significantly from 2024, with higher investment in upstream development, facility integrity, and infrastructure optimisation. “This investment is strategic; production growth and increased revenue depend on these foundational capabilities being in place, and more importantly, it is evidence that the company is postured correctly for the future,” the energy firm noted.

In line with its group-wide optimisation strategy, the company disclosed that it realised $17.7 million in cost savings across key operating inputs through disciplined contract optimisation.

During the period, retained earnings, the company said, returned to a positive position, reflecting non-cash intra-group balance sheet realignments associated with ongoing capital restructuring.

Collectively, Oando explained that these developments enhanced the company’s financial resilience and positioned it to deliver sustainable, long-term value as it enters its next phase of growth.

“With operational control firmly embedded and the foundations for growth clearly established, our focus is on the diligent execution of our development programme to accelerate production growth, strengthen cash generation and enhance long-term value creation. As we enter 2026, we will continue to allocate capital prudently, deepen operational resilience and build on the momentum achieved,” Tinubu assured.