Aradel Holdings Plc has announced its audited financial results for the year ended December 31, 2025. The company achieved a pre-tax profit of N835.0 billion, marking a substantial 163.60% increase compared to N316.8 billion recorded in the 2024 financial year.

This strong financial performance was driven by enhanced earnings and non-recurring gains stemming from its ND Western and Renaissance transactions. In recognition of this performance, the Board of Directors has recommended a final dividend of N23.00 per share. This brings the total dividend payout for the 2025 financial year to N33.00 per share.

The final dividend is subject to shareholders' approval and applicable withholding tax. It is scheduled to be paid on July 31, 2026, to shareholders registered by the close of business on July 9, 2026.

Key Financials (FY 2025 vs FY 2024):

• Revenue: N699.43 billion, up 20.35% YoY
• Gross Profit: N308.21 billion, down 13.55% YoY
• Operating Profit: N733.58 billion, up 151.74% YoY
• Earnings Per Share: N173.62, Up 192.54% YoY
• Crude oil and condensate production: 5.2 million barrels, up 3% YoY
• Volumes of crude lifted: 4.1 million barrels, up 32% YoY
• Gas production volume: 18.8 Bcf, up 59% YoY
• Average daily gas production: 51.4 mmscf/day, up 59% YoY
• Volume of refined products sold: 302.9 million liters, up 26% YoY
• Refined product output: 313.4 million litres, up 18% YoY
• Refinery utilization: 49%, Up from 40% in FY 2024
• Average realised gas price: $1.52/mscf, down from $1.66/mscf in FY 2024
• Total Assets: N9.90 trillion, up 465.55% YoY
• Total Equity: N2.15 trillion, up 53.00% YoY
• Cash and Cash Equivalents: N1.50 trillion, up 265.39% YoY
• Total Borrowings: N2.00 trillion, up 1,978.24% YoY

CEO Adegbite Falade described 2025 as a defining year for Aradel, highlighting the company's delivery of record revenue and profitability alongside its most transformational expansion. He noted that the full earnings impact from the NDW and Renaissance transactions will be realized from 2026 onwards.

Revenue growth was broad-based across Aradel's operating segments, with crude oil remaining the primary contributor. Crude oil exports increased by 18% to N440.1 billion, representing 63% of total revenue, supported by higher production volumes and reliable evacuation systems. Refined products revenue grew by 18% to N210.8 billion (30% of total revenue), driven by a 26% rise in sales volume to 302.9 million litres. Gas revenue saw the strongest segment growth, up 72% to N48.6 billion (7% of total revenue), due to increased production volumes despite a dip in realised gas prices.

Despite revenue expansion, gross profit declined by 13.55% year-on-year due to a sharp increase in the cost of sales, which rose to N391.2 billion from N224.6 billion.

Significant gains below the gross profit line boosted operating profit to N733.6 billion. These gains included a N217.1 billion gain on bargain purchase and a N393.2 billion translation gain on business combination, both linked to the ND Western and Renaissance transactions. Share of profit from associates also contributed positively, rising 246% to N109.5 billion.

However, cost pressures were evident, with finance costs increasing to N26.5 billion from N22.2 billion, and general and administrative expenses rising to N93.1 billion from N56.2 billion. The company also recorded non-recurring items such as a N40.2 billion crude overlift stock adjustment, a N25.5 billion one-off royalty provision, and N48.5 billion in LTIP-related staff costs.

The company's balance sheet saw considerable expansion following the consolidation of ND Western's assets and liabilities and Aradel's effective interest in Renaissance. Total assets reached N9.9 trillion, with cash and cash equivalents growing to N1.50 trillion. Net cash from operating activities moderated to N179.7 billion from N311.9 billion, influenced by settlement timings and working capital changes.

Aradel's share price has seen significant movement, starting the year at N670.00 and closing the last trading session at N1,700.00, reflecting a 161% year-to-date increase.