Table of Contents
Key Points
- Oando reported a 90.51% rise in Q1 2025 profit, driven by net finance income of $43.7 million and a tax credit of $106.8 million.
- Revenue rose modestly by 1.87% to $601.5 million, with exploration and trading segments contributing over 99% of group revenue.
- Following its NAOC acquisition, Oando doubled reserves to 983 million boe and increased average daily production to 23,727 boepd.
Oando Plc, one of Nigeria's leading oil companies, is reinforcing its foothold in the energy sector under the leadership of Group CEO Wale Tinubu, nephew of Nigeria’s President Bola Ahmed Tinubu. The Lagos-based energy group kicked off 2025 with revenue topping $601 million, a modest 1.87 percent increase from the previous year.
Despite the slight uptick in revenue, net profit surged by 90.51 percent to over $70 million, reflecting the company’s strong financial resilience and operational agility amid market fluctuations. The performance highlights Oando’s continued relevance in Africa’s dynamic energy landscape.
Oando profit soars on finance, tax gains
According to the energy group’s first quarter report, profit for the period rose by 90.51 percent, from N59.35 billion ($38.28 million) in Q1 2024 to N113.06 billion ($72.94 million) in Q1 2025. The sharp increase was driven by a swing in net finance income, which surged to N67.78 billion ($43.72 million) from a loss of N46.86 billion ($30.26 million) in Q1 2024.
The turnaround was further bolstered by a significant income tax credit of N165.62 billion ($106.85 million), reversing a prior tax expense of N11 billion ($7.1 million). Despite reporting an operating loss of N120.34 billion ($77.63 million) due to a one-off fair value loss on a modified financial asset, the company still delivered strong bottom-line growth.
However, Revenue climbed marginally by 1.87 percent to N932.57 billion ($601.53 million) from N915.42 billion ($590.61 million) in 2024 as the company benefited from a resilient performance in its exploration and production (E&P) and supply and trading segments. Together, these core divisions contributed over 99 percent of total group revenue in the quarter.
Oando doubles reserves, streamlines for growth
Oando’s current momentum builds on its transformational 2024, during which the company completed the strategic acquisition of Nigerian Agip Oil Company (NAOC). That deal doubled its working interest in OML 60–63 from 20 percent to 40 percent and boosted 2P reserves by 95 percent to 983 million barrels of oil equivalent.
Additionally, the company made progress in deleveraging, contributing to a leaner, more financially disciplined entity entering 2025, ready to weather market headwinds and capitalize on emerging opportunities across West Africa’s energy landscape.
Tinubu sharpens 2025 agenda around productivity
Under Wale Tinubu, Oando has evolved into a multinational energy player with a presence across upstream, midstream, and downstream sectors. After rebranding from Unipetrol in 2003, Oando expanded its operations and now holds a dominant position in Nigeria’s energy market. Through Ocean and Oil Development Partners (OODP), a joint venture with Omamofe Boyo, Tinubu holds a 66.67 percent stake in Oando, solidifying his influence in the sector.
Oando’s balance sheet showed further resilience, with total assets rising by 6.21 percent—from N6.43 trillion ($4.15 billion) as of March 31, 2024, to N6.83 trillion ($4.41 billion) in the same period of 2025. Despite this growth, the company has yet to fully recover from its accumulated losses, which, although narrowing, remain substantial, declining from N215.88 billion ($136.83 million) to N208.1 billion ($134.21 million) year-over-year.
