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Key Points
- Seplat Energy’s Q1 2025 revenue surged 350% to $809.3 million, fueled by higher oil and gas production and the consolidation of SEPNU’s assets.
- Adjusted EBITDA rose 226% to $401 million, while cash from operations jumped to $306.5 million, reflecting strong operational execution and drilling expansion.
- Profit after tax rebounded to $23.3 million from a $1.9 million loss, driven by production growth, debt reduction, and operational efficiency improvements.
Seplat Energy Plc, the energy conglomerate co-founded and partly owned by Nigerian energy tycoon Austin Avuru, delivered an impressive financial performance at the end of the first quarter of its 2025 fiscal year, with revenue exceeding $800 million.
Renowned for its focus on Nigeria’s Niger Delta region’s oil and gas sector, Seplat Energy has solidified its position as the largest listed energy group on the Nigerian Exchange, under the strategic guidance of its co-founder Austin Avuru.
Seplat Energy delivers robust growth in Q1 2025
The unaudited results for the three months ended 31 March 2025 showcase a robust performance, with revenue reaching N1.23 trillion ($809.3 million) from N268.6 billion ($179.8 million), indicating a 350.11-percent increase.
Growth was fueled by a 224 percent jump in crude and condensate production to 9.0 MMbbls and a 50 percent rise in gas output to 14.9 Bscf, driven by the consolidation of SEPNU and an active drilling program across onshore assets.
Despite higher unit production costs ($12.6/boe, up from $9.5/boe), Seplat maintained strong financials. Adjusted EBITDA rose 226 percent to N607.6 billion ($401 million), while cash flow from operations climbed to N464.9 billion ($306.5 million) from N25.2 billion ($16.8 million).
The company reduced gross debt by 21 percent, including a $250 million early repayment on revolving credit facilities. Reflecting its strengthened position, Seplat raised its quarterly dividend by 28 percent to 4.6 cents per share.
Profit after tax rebounded to N35.4 billion ($23.3 million), a sharp turnaround from a N2.9 billion ($1.9 million) loss a year earlier, underpinned by production growth, debt reduction, and improved operational efficiency.
Seplat Energy: Growth and resilience on display
Founded in 2009 by Nigerian energy magnates Austin Avuru and Ambrosie Orjiako, Seplat Energy has risen to become Nigeria’s largest listed energy group on the Nigerian Exchange (NGX), anchored by a dominant presence in the Niger Delta’s oil and gas sector.
The company has maintained strong performance on the NGX, balancing operational challenges with strategic growth. Avuru and Orjiako, holding 8.2 percent and 6.43 percent stakes respectively, are poised to reap substantial dividends from their investments.
Despite a 2.06 percent dip in total assets to $6.27 billion, retained earnings rose 1.64 percent to $1.25 billion, highlighting Seplat’s resilience. A strong Q1 2025 performance prompted a 28 percent quarterly dividend hike to $0.046 per share, with a total payout of $0.184 per share forecast for the year—an 11 percent increase over 2024—reflecting confidence in the company's cash strength and growth prospects.
