An energy company, Aradel Holdings Plc, has reported a profit after tax of N247.8bn.
This represents a 361 per cent growth compared to the N53.8bn recorded in the previous year.
The company’s audited financial statement for 2024 filed on the Nigeria Exchange on Tuesday showed an increase in revenue, which surged by 162.7 per cent to N581bn from N221bn in 2023. The rise was primarily attributed to a 41 per cent growth in crude oil production, averaging 13,751 barrels per day, up from 9,755 barrels per day recorded in the prior year.
Aradel’s profit before tax also rose by 186.7 per cent to N321.6bn in 2024 from N112.2bn in 2023.
Similarly, the company recorded an EBITDA of N374.1bn, reflecting a 189 per cent increase year-on-year, while its export crude oil revenue surged by 244.6 per cent to N373.7bn compared to N108.5bn in the prior year.
The company attributed its performance to strategic operational and financial initiatives. These include the successful acquisition and integration of the Olo and Olo West fields, which contributed significantly to production growth. Additionally, Aradel completed phase one drilling in the Omerelu field, further boosting its output.
Despite the growth in revenue and profits, Aradel’s financial expenses rose, driven by macroeconomic factors. Finance costs increased by 96.4 per cent year-on-year to N42.8bn, largely due to the devaluation of the naira.
General and administrative expenses also climbed by 164.4 per cent to N29.1bn, with staff costs recording a notable 352.9 per cent increase during the year.
The company announced plans to increase its crude oil production to 16,000 barrels per day in 2025. This target is expected to be achieved through ongoing development programmes in its newly acquired and existing fields.
The PUNCH reported that Aradel Holdings Plc has entered into an agreement to acquire a 5.14 per cent equity interest in Chappal Energies Mauritius Limited, an energy company focusing on investments in deep value and brownfield upstream opportunities within Africa.
