Conoil, 3 Other Oil Companies Record N386 Billion in Profits in 2024
- Investors in Nigeria's oil and gas sector are all smiling to the bank after a profitable 2024, with billions of naira in profit
- Four key players including Conoil Plc recorded a combined profit of N386 billion before taxes, doubling their previous year's profits
- While the oil and gas sector is having a swell time, the story is different for other sectors many of which posted losses in 2024
Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.
While other sectors took major financial hits in 2024, the oil and gas sector has investors smiling to the bank after posting massive profits.
Amid security problems in Nigeria and other economic challenges, four companies in the oil and gas sector have reported a total profit of N386.7 billion for the 2024 financial year.
The Q4 financial statements for MRS, Aradel, Conoil and Total Energies, show that between January 1 and December 31, 2024, the combined Profit Before Tax (PBT) grew by 162.04% from N147.6 billion in 2023, to N386.7 billion in 2024.
Source: Getty Images
Profit After Tax (PAT) grew even more, moving from N80 billion in 2023 to N292.6 billion in 2024.
Profit breakdown of four oil companies
The GUARDIAN report gives the breakdown to show that Aradel's PBT grew by 186.7% from N112 billion in 2023 to N321 billion in 2024; while Total Energies’ PBT grew 140.4% from N17.5 billion to N42.2 billion.
MRS recorded a 63.3% growth in PBT, from N5.9 billion in 2023 to N9.7 billion in 2024.
Conoil’s PBT showed modest growth of 12.45%, from N12.2 billion to N13.8 billion.
Overall, the oil and gas sector enjoyed a fantastic 2024 and was the best-performing sector, with the Oil and Gas share index returning 170% gains.
Aradel had a bullish 2024 all-round following its listing on the stock exchange and even stepped forward to buy stakes in Chappal Energies.
The improved performance has been credited to the government reforms in the sector, and concerted efforts against oil theft.
President of the Independent Shareholders Association of Nigeria, Moses Igbrude, expressed optimism that shareholders would receive bountiful dividend payouts.
He also commended the oil companies for showing resilience despite global challenges and fluctuations in the sector.
Igbrude observed that the companies must uncover more stable solutions in 2025, as the global landscape continues to cause some tensions.
Other sectors end 2024 with debts
Meanwhile, other sectors are having hard times with many ending 2024 with increased debts and liabilities.
A recent Legit.ng report shows Oando Plc saw its total liabilities almost triple within one financial year, growing from N2.94 trillion in 2023 to N7.78 trillion in 2024.
Bua Foods plc ended 2024 with N618 billion in total liabilities. Although this was lower than the previous year, it remains a significant debt burden for a company.
Profitable oil companies in Nigeria
In related news, Legit.ng compiled a list of some of the most profitable Nigerian companies in 2024.
This list was compiled based on the first nine months' report of 2024, and the top six profitable companies posted combined profits of N464.6 billion before tax.
The list included major oil companies including Seplat and Eterna Oil. The other four companies were MRS Oil, Aradel, Conoil and Total Energies.
This report put the oil and gas sector way ahead of the others based on profitability.
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Source: Legit.ng
