Oil and gas companies listed on the Nigerian Exchange recorded a combined pre-tax profit of N1.23 trillion in 2025, a 6.7% increase from the N1.15 trillion reported in 2024.
The growth was mainly supported by stronger revenue, as total earnings rose to N9.42 trillion in 2025, up 17.7% from the N8 trillion generated the previous year.
Even though the cumulative cost of sales in the oil and gas sector spiked 12.4% to N7.6 trillion, higher revenue provided a solid base, partially offsetting the impact of operational expenses on operating profit.
However, combined operating profit fell 5.38% to N1.3 trillion, but a cumulative 374% surge in finance income, mainly interest from bank deposits, lifted the bottom-line profitability of the sector.
In this work, pre-tax profit is prioritized to rank profitability, as it reflects true operational performance before taxes, which can distort comparisons. Six of the seven companies reviewed reported profits for the year.
Conoil Plc reported a pre-tax profit of N2.5 billion for the 2025 financial year, according to its unaudited results on the Nigerian Exchange, placing it fifth on the list.
This represents a sharp 77% decline from N11 billion in 2024, driven mainly by higher administrative and finance costs.
Revenue remained strong at N301.7 billion, slightly below the prior year’s N323.1 billion from petroleum sales, while cost of sales eased to N278.8 billion, supporting a gross profit of N22.9 billion.
Rising expenses, administrative costs of N6.1 billion and finance charges of N10.3 billion significantly squeezed pre-tax earnings.
On the balance sheet, total assets expanded to N139.01 billion, while total equity remained at N39 billion, with retained earnings making up 89% of equity.
Shares have fallen 9.72% year-to-date on NGX, reflecting investor caution amid the decline in profitability.
