Eterna grows 2025 profit to N6.8 billion on FX gains, leaner costs

2026-02-25 04:20:09

Eterna Plc reported a pre-tax profit of N6.8 billion for the year ended 31 December 2025, up 52.96% from N4.48 billion recorded in 2024.

The fourth quarter drove much of the growth, contributing N5.48 billion in profit, a 72.52% jump from N3.17 billion in Q4 2024, as quarterly sales rose to N89.6 billion.

Full-year revenue stood at N302.5 billion, slightly down from N313.6 billion in 2024, with fuel sales accounting for 86.56% of turnover, followed by lubricants and other products.

MoreStories

FGN bond demand rises to N2.70 trillion in February despite lower yields

February 24, 2026

Nigeria’s FX reserves hit $50.45 billion, highest in 13 years – Cardoso

February 24, 2026

Profitability strengthened despite softer revenue, supported by a swing from a N15.7 billion net exchange loss to a N107.6 million gain and lower finance costs.

**Key Highlights (FY 2025 vs FY 2024) **

Revenue: N302.5 billion (Down 3.54% YoY from N313.6 billion)

Gross profit: N12.4 billion (Down 68.84% YoY from N39.94 billion)

Operating profit: N9.1 billion (Down 67.15% YoY from N27.9 billion)

Pre-tax profit: N6.8 billion (Up 52.97% YoY from N4.4 billion)

Profit after tax: N2.2 billion (Up 69.31% YoY from N1.3 billion)

Earnings per share (EPS): N1.75 (Up 69.90% YoY from N1.03)

Total assets: N93.4 billion (Up 38.65% YoY from N67.4 billion)

Cash and cash equivalents: N4.7 billion (Up 190% YoY from N1.6 billion)

Driving the numbers

Eterna Plc recorded a slight revenue decline, as fuel sales fell to N261.8 billion from N272.4 billion and lubricants eased to N38.5 billion from N39.1 billion.

However, cost pressures intensified, with the cost of sales rising to N290 billion from N273.6 billion, compressing gross profit sharply to N12.4 billion, down 68.84% year on year.

Administrative expenses climbed 33.70% to N12.5 billion, though this was partly offset by lower selling costs and N9.4 billion in other income.

Other income was largely driven by a one-off N8.7 billion gain on debt extinguishment, which helped cushion weaker operating margins.

In addition, a net foreign exchange gain of N107.67 million replaced the prior year’s N15.79 billion loss, while finance costs shrank to N2.4 billion from N7.69 billion.

On the balance sheet, total assets rose to N93.4 billion from N67.4 billion, driven mainly by inventories, which surged to N59.14 billion.

Higher borrowings lifted total liabilities 37.99% to N86.3 billion. More favorably, the company reported N685.6 million in retained earnings, a rebound from a N1.5 billion loss in 2024.

Market reaction

As of the trading day that ended 23 February 2026, shares of Eterna Plc closed at N32.50, reflecting a 5.35% month-to-date gain in February.

Year to date, the stock is up more than 14%, supported by sustained bullish sentiment across the oil and gas sector. Positive market reaction is expected to strengthen in the coming sessions.

Add Nairametrics on Google News

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.