Seplat Energy Grows Revenue to N1.071trn in 9months

Samuel Mobolaji

Seplat Energy Plc has declared a revenue of N1.071 trillion in its unaudited results for the nine months period ended September 30, 2024.

The company listed on both the Nigerian Exchange and the London Stock Exchange released its results, which showed that revenue went up by 124.06 per cent from N478.130 billion in 2023 to N1.071 trillion in the period under review.

Gross profit fell 14.7 per cent to $355.0 million in nine months 2024, from the $416.3 million recorded in 2023, while operating profit increased by 77.5 per cent to $274.8 million in 2024, from $154.8 million achieved in 2023.

Profit before tax increased by 129.9 per cent, amounting to $245.0 million, compared to $106.5 million in nine months 2023. However, primarily due to the significant increase in taxation in nine months 2024, while net profit declined 55.7 per cent to $35.3 million in 2024, from $79.5 million in 2023.

Working interest production averaged 47,525 boepd (9M 2023: 48,152 boepd), around the midpoint of guidance.

Following board consideration and approval, Seplat increased its quarterly dividend by 20 per cent to US3.6 cents per share from Q3, 2024. The dividend increase is due to the strength of the underlying business and does not factor in the potential enhancement in the shareholder returns policy that may be supported by the organic (ANOH) and inorganic (MPNU) growth opportunities that the Company is currently pursuing.

Speaking on the results, the chief executive officer, Seplat Energy, Mr. Roger Brown said, “the first nine months of 2024 has seen Seplat Energy deliver a strong operational performance. Production has been consistent; drilling has improved and our main maintenance activities have been executed successfully.

“We have brought two new fields on stream, most recently Abiala, and are approaching completion of the Sapele gas plant. Further delays to the start up at ANOH are frustrating, but we have been pleased to see the commitment of our government partner in tackling the technically challenging river crossing.”

He added that, “commodity prices remained supportive, combined with operational uptime and timely cash calls from our joint venture partner, helped cash generation improve year over year, enhancing our balance sheet position.

“As a result, we are pleased to announce a 20 per cent increase in the core quarterly dividend and note that this is reflective of the strength of the underlying business. The increase does not factor in the organic (ANOH) and inorganic (MPNU) growth opportunities that the company is currently pursuing. We were delighted in recent days to receive Ministerial consent for the acquisition of MPNU. The transaction will be transformational for Seplat Energy, and every effort is now on completing the transaction.”