Aradel Holdings Plc closed its 2025 financial year with a sharp rise in earnings, underscoring how scale, acquisitions and steady operations can reshape a Nigerian energy company in a short time. Profit after tax climbed 55 percent to N401.2 billion ($290.8 million), up from N259.1 billion ($188.1 million) a year earlier, according to the company’s unaudited results for the year ended December 31, 2025. The increase was supported by higher revenue, a surge in profit from associates and contributions across crude oil, refined products and gas.
The unaudited financial statements for the year ended Dec. 31, 2025 show revenue rising 20 percent to N697.3 billion ($504.7 million), up from N581.2 billion ($421 million) a year earlier. A sharp rise in income from associates also played a central role, climbing to N197 billion ($142.6 million) from N31.6 billion ($22.87 million). Management said the full contribution of the ND Western acquisition, completed on the final day of the year, will be clearer in subsequent reporting periods.
Oil, gas drive revenue growth
Crude oil exports remained the backbone of Aradel’s revenue, generating N440.1 billion ($318.5 million), an 18 percent increase from 2024, supported by higher production volumes and more reliable evacuation. Crude sales rose to 4.1 million barrels from 3.1 million barrels, accounting for 63 percent of total revenue, even as realized crude prices declined. Refined products delivered N210.8 billion in revenue, up 18 percent from N179.3 billion ($130.1 million), driven by a 26 percent increase in sales volumes to 302.9 million liters. Gas revenue climbed 65 percent to N46.4 billion ($33.7 million) despite lower realized prices, reflecting higher output and growing domestic demand.
Operationally, the company recorded steady gains. Total crude oil and condensate production rose to 5.16 million barrels from 5.06 million barrels in 2024, while average daily crude production increased to 14,142 barrels per day. Gas production volumes jumped 59 percent to 18.76 Bcf, with average daily output rising to 51.4 mmscf per day. The company also hit its highest gas production rate of about 83.8 mmscf per day following its gas revamp and expansion project. In refining, improved uptime lifted refined product volumes to 313.4 million liters and pushed capacity utilization to 49 percent from 40 percent a year earlier.
Aradel expands assets, boosts equity stakes
Chief Executive Officer Adegbite Falade said the results reflected careful execution and the breadth of Aradel’s asset base. “Despite operating in a dynamic environment, we achieved meaningful growth across our upstream, gas, and refining businesses,” he said, pointing to the completion of two major transactions during the year. These included the acquisition of a 33.3 percent effective equity interest in Renaissance Africa Energy Company Limited and the purchase of an additional 40 percent equity interest in ND Western Limited, raising Aradel’s effective interest in ND Western to 81.67 percent and its stake in Renaissance to 53.33 percent.
Founded in 1992 and listed on the Nigerian Exchange in October 2024, Aradel has evolved into Nigeria’s largest integrated independent energy company. Since listing, its shares have risen 6.09 percent to N820, valuing the group at about N3.56 trillion. Its asset base expanded sharply in 2025, with total assets increasing from N1.75 trillion ($1.26 billion) to N10.4 trillion, while shareholders’ equity grew to N3.48 trillion. Retained earnings climbed to N654.1 billion ($473.8 million), underscoring how a year of expansion translated into lasting balance-sheet strength.
