Aradel Holdings Plc (ARADEL) has released its unaudited results for the half year (H1) period ending June 30, 2025, reporting a revenue of ₦368.1 billion, a 37.2% increase from H1 2024’s revenue of ₦268.3 billion.
This rise was driven by a 36.0% increase in crude oil export revenue to ₦232.8 billion (H1 2024: ₦171.1 billion) and a 42.6% increase in refined products revenue to to ₦116.5 billion (H1 2024: ₦81.7 billion).
63.2% of the total revenue came from crude oil export.
Gross profit for the period was ₦163.1 billion in H1 2025 from N161.5 billion in H 1 2024.
General and administrative (G&A) expenses saw a significant increase of 184.1% to ₦53.1 billion, up from ₦18.7 billion in H1 2024. This was primarily due to a 436.7% increase in staff costs, which rose to ₦34.2 billion.
Finance costs increased by 109.0% to ₦12.5 billion, mainly due to new borrowings to finance the SPDC acquisition.
Operating profit declined to N118.6 billion in H1 2025 from N150.3 billion reported in H1 2024.
Despite this, profit after tax grew by 40.2% to ₦146.4 billion, compared to ₦104.4 billion in H1 2024 due to N71.3 billion reported as share of profit of an associate.
Earnings per share stood at N33.3 in H1 2025 up from N24.0 in the period in 2024.
Assets and Liabilities
Aradel Holdings’ total assets increased by 3.5% to ₦1.8 trillion, primarily due to the acquisition of a 6.01% equity stake in Chappal Energies Mauritius Limited and the completion of the Renaissance Africa Energy Holdings acquisition of Shell Petroleum Development Company of Nigeria (SPDC).
Total liabilities also rose by 3.4% to ₦357.5 billion, a result of additional debt from the SPDC acquisition and tax liability estimates.
Cash Flow
The company’s net cash flow from operating activities was ₦140.8 billion, a decrease from ₦165.4 billion in H1 2024. Net cash used in investing activities was ₦97.1 billion, an increase of 112.4%. This was driven by a ₦21.3 billion cash-financed investment in Renaissance and a ₦34.9 billion investment in Chappal Energies. Net cash used in financing activities increased to ₦112.2 billion, primarily due to dividend payments.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.
