Oando Plc announced a remarkable rise in first-quarter performance, with gross profit soaring 172% to ₦85 billion—up significantly from the ₦31 billion posted in Q1 2024—as revenue reached ₦933 billion, marking a modest 2% year-over-year growth .
This robust gross margin was driven by a leap in upstream production: crude oil output climbed 132% to 11,369 barrels per day, gas production surged 56% to 25,185 boepd, and NGLs rose 30% to 1,040 barrels per day . Overall, Oando achieved an average daily production of 37,595 boepd—a 72% increase year-on-year—thanks to the seamless integration of the NAOC assets and targeted well reactivations .
However, the company reported a pre-tax loss of ₦52.5 billion, largely due to non-cash fair value losses on some financial instruments and other operating pressures . A significant income tax credit of ₦165.6 billion and a ₦182.3 billion impairment reversal transformed the operating dynamics, culminating in a post-tax profit of ₦113 billion—representing a 90.5% increase from the ₦59.3 billion earned in Q1 2024 .
On the financial front, Oando recorded net finance income of ₦67.7 billion, bolstered by increased finance income that offset rising interest costs of ₦81.8 billion . The company also boosted its balance sheet, expanding total assets from ₦6.4 trillion to ₦6.8 trillion, though retained earnings remained in deficit at ₦181 billion .
Strategically, Oando is moving beyond Nigeria, having secured operatorship of Block KON 13 in Angola’s Kwanza Basin and becoming the preferred bidder for Trinidad & Tobago’s Guaracara Refinery—an expansion that underscores its growing regional footprint .
Looking ahead, Oando plans a strong 2025 with capital expenditures of $250–270 million focusing on drilling, infrastructure upgrades, and ESG projects. They aim to maintain production at 30,000–40,000 boepd, cut costs by 20%, and scale trading & clean energy segments—including deploying 50 electric buses and advancing solar initiatives .
