Conoil Plc, one of Nigeria’s leading downstream petroleum marketing companies, has released its unaudited financial results for the nine months ended September 30, 2025, showing a sharp decline in both revenue and profitability compared to the same period in 2024.
The results, approved by the company’s Board of Directors on October 30, 2025, reveal that revenue fell by 18.2% to ₦203.83 billion in the first nine months of 2025, down from ₦249.13 billion in the same period last year. This decline reflects a challenging operating environment marked by foreign exchange volatility, reduced consumer demand, and fluctuating fuel margins across Nigeria’s downstream oil sector.
Revenue and Gross Profit
For the third quarter (July–September 2025), Conoil reported revenue of ₦60.18 billion, down from ₦68.56 billion in Q3 2024. For the nine-month period, total revenue amounted to ₦203.83 billion, compared with ₦249.13 billion in 2024.
The company’s cost of sales for the nine months stood at ₦178.28 billion, lower than the ₦225.59 billion reported last year, resulting in a gross profit of ₦25.54 billion compared to ₦23.54 billion in 2024.
However, the quarterly results showed more pressure, as gross profit in Q3 2025 dropped to ₦5.31 billion, down from ₦8.02 billion in the same quarter of 2024. This decline was largely due to tighter margins and weaker sales volumes.
Operating and Administrative Expenses
Conoil’s distribution expenses for the nine months ended September 2025 rose to ₦4.78 billion, compared to ₦4.35 billion in the previous year. Administrative expenses also increased to ₦6.90 billion, up from ₦2.48 billion in 2024, reflecting higher operational costs, inflationary pressures, and increased maintenance expenses.
The company recorded finance costs of ₦2.13 billion, compared with ₦253 million in 2024, reflecting higher interest expenses amid tighter credit conditions.
Profit Before and After Tax
Despite cost pressures, Conoil maintained profitability, posting a profit before tax (PBT) of ₦1.48 billion for the nine-month period, though significantly lower than the ₦15.24 billion recorded in 2024 — a decline of 87.7%.
After accounting for income tax expenses of ₦410.47 million, down from ₦3.12 billion in 2024, profit for the period stood at ₦1.46 billion, a sharp 86.8% decline compared to the ₦12.12 billion earned in the same period last year.
The company’s retained earnings also decreased from ₦12.12 billion in 2024 to ₦1.46 billion as of September 2025, representing an 87.9% reduction.
Earnings and Shareholder Returns
On a per-share basis, basic earnings per share fell from ₦1.747 kobo in 2024 to ₦0.211 kobo in 2025, a drop of 87.9%. Net assets per share also decreased by 9.5%, from ₦6.523 kobo to ₦5.902 kobo.
While share capital remained unchanged at ₦346.98 million, shareholders’ funds declined to ₦40.96 billion, down from ₦45.27 billion in 2024, representing a 9.5% contraction in equity value.
Assets and Liabilities
As of September 30, 2025, Conoil’s total assets stood at ₦126.19 billion, up from ₦114.95 billion recorded in 2024.
Non-current assets increased to ₦12.75 billion (2024: ₦6.48 billion), driven by an expansion in property, plant, and equipment, which grew to ₦10.26 billion from ₦3.97 billion the previous year. Deferred tax assets remained steady at ₦2.38 billion, while prepayments dropped slightly to ₦104.2 million from ₦123.56 million.
Current assets totaled ₦113.44 billion, up from ₦108.47 billion in 2024, supported by trade and other receivables of ₦89.78 billion (2024: ₦71.90 billion). However, inventories fell sharply to ₦14.09 billion from ₦29.25 billion, reflecting lower stock volumes due to cautious inventory management. Cash and bank balances increased to ₦9.27 billion, compared to ₦7.26 billion last year, indicating improved liquidity.
Capital Structure and Liabilities
On the equity side, share capital and share premium remained stable at ₦346.98 million and ₦3.82 billion respectively.
Non-current liabilities totaled ₦1.14 billion, consistent with 2024 levels, comprising distributors’ deposits of ₦492.10 million, deferred tax liabilities of ₦533.41 million, and decommissioning liabilities of ₦116.96 million.
Current liabilities increased to ₦85.24 billion, compared to ₦75.46 billion last year, largely due to borrowings of ₦3.73 billion (2024: ₦5.07 billion) and trade and other payables which rose to ₦84.09 billion from ₦74.32 billion.
Overall, total liabilities stood at ₦85.24 billion, leaving total equity and liabilities balanced at ₦126.19 billion for the nine-month period.
