Aradel Holdings Sets New Profit Record Amid Oil Boom

Aradel Holdings Plc has announced a historic financial performance for the first quarter of 2025, reporting a pre-tax profit of N67.1 billion, a remarkable 70.08% increase compared to N39.4 billion in the same period last year. The company attributes its success to a significant surge in crude oil sales and strategic expansion efforts.

Total revenue for Q1 2025 soared to N199.8 billion, nearly double the N101.1 billion recorded in Q1 2024. Crude oil sales contributed the largest share, generating N142.1 billion, while refined products accounted for N53.3 billion, and gas sales stood at N4.4 billion.

A breakdown of market distribution shows that international sales dominated at N142.1 billion, while domestic transactions totaled N57.7 billion.

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Challenges & Cost Management

Despite the impressive revenue increase, Aradel faced a sharp rise in costs. The cost of sales more than tripled to N120.9 billion, marking a 214.26% increase year-over-year. Administrative expenses also surged by 149.21%, totaling N15.9 billion.

However, the company maintained a strong operating profit of N63.5 billion, reflecting a 79.14% increase compared to Q1 2024.

Financial Stability & Market Performance

Aradel reported total assets of N1.8 trillion, a 4.72% increase, with retained earnings growing by 8.54% to N428.9 billion. The company remains financially robust despite rising finance costs, which jumped 62.67% to N5.4 billion.

On the Nigerian stock market, Aradel’s shares closed at N448 as of April 28, 2025, with a year-to-date performance of -25.08%.

With crude oil prices remaining favorable and ongoing expansion strategies in place, Aradel Holdings is optimistic about sustaining its growth trajectory in the coming quarters.