Aradel Holdings’ Strategic Growth Boosts Profit and Dividend
Aradel Holdings Plc has achieved a remarkable 169% increase in profit after tax, reaching $88.8 million, driven by strategic expansion in oil and gas sales and efficient cost control. The company’s revenue rose by 30% to $274.4 million, primarily supported by crude oil and gas sales that offset softer performance in refined products.
“Aradel’s strong focus on crude oil export and an agile response to market demands significantly enhanced our profitability,” noted CardinalStone analysts. With export revenue up by 77.2% to $198.2 million, Aradel’s emphasis on global markets paid off, making exports 72.2% of total revenue. This robust performance allowed the company to strengthen its gross profit margin, now at 58.2%.
The energy company achieved cost efficiencies with operating expenses declining, thanks to reduced finance costs and a 92.8% drop in net finance costs. Lower reliance on bank borrowings and stock adjustments helped counter rising crude oil handling charges and statutory fees.
Aradel Holdings’ pretax profit surged 125.9% year-on-year to $145.3 million, showcasing effective management and operational efficiency amid market volatility. Reflecting the positive outlook, the company declared an interim dividend of N8.00 per share for shareholders, affirming its commitment to shareholder value. CEO comments underscore this sentiment, noting, “Aradel’s strategic focus on core revenue drivers and operational excellence continues to deliver solid returns despite industry challenges.”
Aradel Holdings has demonstrated resilience and growth potential, fortifying its position in the oil and gas sector and providing confidence to investors as it navigates future industry dynamics. Lafarge Africa’s Resilience Drives Profit Growth
