Aradel Holdings Plc has released its 2025 unaudited financial statements for the period ended December 31, 2025.
The company reported a pre-tax profit of N463.71 billion for the 2025 financial year, marking a 46.5% increase compared to N316.77 billion in 2024.
Profit after tax grew by 54.87% to N401.22 billion.
The strong bottom line can be attributed to continued revenue growth, reflecting sustained momentum across all business segments and the benefits of its value-accretive diversification strategy.
Key highlights (FY 2025 vs FY 2024)
- Revenue: N697.30 billion, +20% YoY
- Gross Profit: N280.02 billion, -21.48% YoY
- Operating Profit: N272.03 billion, -6.66% YoY
- Earnings Per Share: N91.59, +54.43% YoY
- Total Assets: N10.42 trillion, +495% YoY
- Total Equity: N3.48 trillion, +147.24% YoY
Management commentary
Commenting on the results, Mr. Adegbite Falade, Chief Executive Officer, said that Aradel:
- “Delivered a strong performance in 2025, reflecting the quality of our asset base and disciplined execution.”
- “Diversified energy portfolio proved resilient, with growth across upstream, gas, and refining businesses.”
- “The acquisition of a 40% additional stake in ND Western Limited strengthened our position in Nigeria’s upstream sector, enhancing long-term value creation.”
Driving the numbers
The strong bottom line can be attributed to revenue growth, reflecting sustained momentum and the benefits of its value-accretive diversification strategy.
- Crude oil revenues grew by 18% to N440.1 billion, compared to N373.7 billion in 2024, supported by higher production volumes and reliable evacuation through both the TNP and ACE systems.
- Crude sales rose to 4.1 million barrels (FY 2024: 3.1 million barrels), accounting for 63% of total revenue despite a decline in realized crude oil prices.
Refined products revenues increased by 18% to N210.8 billion, compared to N179.3 billion in 2024, representing 30% of total revenue.
This growth was driven by a 26% rise in sales volume to 302.9 million liters (FY 2024: 240.5 million liters), reflecting the company’s expanding downstream footprint and strong market penetration.
Gas revenues surged by 65% to N46.4 billion (FY 2024: N28.2 billion), representing 7% of total revenue.
This increase was driven by higher production volumes despite a decline in realized gas prices to $1.52/mscf compared to $1.66/mscf in 2024.
Despite this, gross profit and operating profit declined. According to the company’s full-year 2025 unaudited press release, this was largely caused by:
- Stock Adjustment: Crude oil overlifts of 534 kbbls leading to stock adjustment expenses of N34.7 billion (compared to a credit of N26.7 billion in 2024).
- Royalty Provision: A one-off provision of N25.5 billion for price-based royalties.
- LTIP Costs: 85% increase in staff costs, rising to N94.8 billion, primarily driven by LTIP payments of N48.5 billion.
- Higher Operating Expenses: Increased crude oil handling charges, maintenance costs (+73%), and depreciation (+44%).
Balance sheet position
On the balance sheet, Aradel’s total assets surged to N10.42 trillion, compared to N1.75 trillion in 2024.
This sharp rise was largely driven by the acquisition of ND Western Limited and Renaissance Africa Energy Company, both of which were consolidated into Aradel’s financials.
Equity strengthened to N3.48 trillion, from N1.40 trillion in 2024, reflecting the growth in the company’s net asset base.
What you should know
Aradel Holdings Plc is a diversified energy company with significant investments in oil, gas, and refining.
The company’s performance in 2025 shows strong revenue growth driven by its core operations and strategic acquisitions.
The company completed two significant transactions:
- Acquiring a 33.3% effective equity interest in Renaissance Africa Energy Company, enhancing its strategic position in Nigeria’s upstream sector.
- Purchasing an additional 40% equity interest in ND Western Limited, bringing its effective interest to 81.67%.
Looking ahead, the company said the focus in 2026 is on consolidating the expanded portfolio to enhance operational scale, improve efficiency across its assets, increase production, and further diversify its revenue base in support of long-term shareholder value.
Market reaction
In 2025, Aradel’s stock gained 12% YtD, closing at N670 per share. So far in 2026, the stock has moved to N820, reflecting a 22.4% YtD increase.
Over the past four weeks, the stock has accrued 12%, highlighting strong market sentiment towards the company’s prospects.
