Oando announces 86% rise in H1 profit after tax

Oando announced an 86% increase in profit after tax, totalling NGN 8.5 billion (USD 23.5 million) for H1 2018, on Thursday.

Compared to the same period in 2017, turnover increased by 11% to NGN 297.3 billion (USD 822 million), and gross profit rose by 53% to reach NGN 51 billion (USD 141 million), according to the company’s unaudited H1 results.

“Oil prices have rallied over the last year, a direct consequence of increasing demand and reduced supply. Higher oil prices, and the resolution of joint venture funding challenges with the Nigerian National Petroleum Corporation has driven increased investment in the upstream sector,” Wale Tinubu, Oando group chief executive, said in a company statement. “This stable operating environment, coupled with our fiscal prudence, has reinforced our solid financial footing as we continue to build on the momentum garnered in 2017.”

Established as a petroleum product marketing company, Oando’s transformation into a fully integrated energy firm took form in July 2014, through its USD 1.5-billion acquisition of ConocoPhillips’ upstream assets in Nigeria. Oando is also a partner in the Nigerian National Petroleum Corporation’s Seven Critical Gas Development Projects.