Oando Plc recorded a sharp 82% decline in gross profit to N27.8 billion in the 2025 financial year, highlighting mounting margin pressures despite a strong increase in upstream oil and gas production.
The indigenous energy company disclosed this in its unaudited results for the year ended 31 December 2025 which was filed to the Nigerian Exchange (NGX) on Monday, February 2, 2026.
While production volumes rose 32% year-on-year, the steep drop in gross profit reflects a shift in revenue mix, lower realised commodity prices, and the impact of accounting adjustments, signalling a year of strategic repositioning rather than operational weakness.
What the data is saying
Oando’s financial performance in 2025 was characterised by a sharp contraction in topline and margins, even as upstream activity expanded significantly. Gross profit fell from N155.9 billion in 2024 to N27.8 billion, while revenue declined 21% to N3.21 trillion.
- Revenue declined to N3.21 trillion from N4.07 trillion in 2024, reflecting a deliberate scale-back of refined-product trading.
- Gross profit dropped 82% year-on-year to N27.8 billion, driven by margin compression across crude oil, gas, and natural gas liquids.
- Operating profit fell 91% to N50.2 billion, underscoring the impact of lower margins and non-cash accounting items.
- Profit after tax rose 10% to N241.3 billion, supported by non-operating gains despite weaker operating performance
- https://nairametrics.com/2026/02/02/oandos-unaudited-profit-plunges-82-to-n27-8bn-despite-production-surge-in-2025/
OandoPLC