Based on its financial report, Aradel Holdings Plc posted impressive financials for the period ended, December 31 2024The report is the company’s first financial statement following its IPO when its market value grew by N3.4 trillionThe financial statement demonstrated significant growth across key performance metrics due to improved operational effectiveness
Henzodaily.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.
The audited financial statements of Aradel Holdings Plc for the year that ended on December 31 demonstrated stability in both top-line and bottom-line indicators.
Efficiency and cost-cutting measures contributed to the rise in profitability. Photo Credit: Aradel Holdings
Source: UGC
The report represents the company’s first financial statement after coming public last year, when its market capitalization increased by N3.4 trillion. Due to increased sales, enhanced operational effectiveness, and strategic investments, the financial statement showed notable growth across key performance measures.
According to the report, the group reported a profit after tax (PAT) of N247.79 billion, which was a significant 361% year-over-year (Y/Y) increase from the N53.74 billion reported in 2023.
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The company’s capacity to increase revenue sources and optimize operations is reflected in the earnings boom. As a result, the earnings per share (EPS) increased from N12.37 kobo to N57.07 kobo, nearly quadrupling.
The increase in profitability was partially driven by efficiency and cost reduction as shown in its financial report.
Its revenue increased from N221.1 billion to N581 billion, a 163% increase. Higher sales volume and an increase in income from investments were the main drivers of this expansion. The gross profit increased by 124.8 percent, or nearly twice, from N142.32 billion in 2023 to N319.81 billion in 2024.
The group’s operating profit improved significantly, increasing from N114.06 billion in 2023 to N297.47 billion in 2024, a 160.8% increase.
With finance income at N15.96 billion, up from N6.61 billion in 2023, and finance costs at N23.03 billion, up from N11.72 billion the year before, net finance costs stayed within a reasonable range.
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Revenue increased considerably from quarter to quarter, surpassing Q3 in 2024. Additionally, the company’s quarterly profitability increased, maintaining its upward trajectory throughout the year and suggesting a strong near-term prognosis.
According to the balance sheet, total assets increased by 89% from N923.43 billion in 2023 to N1.74 trillion in 2024, almost doubling. The substantial increase in non-current assets, which rose from N658.92 billion in 2023 to N1.22 trillion, was the main driver of this expansion.
Aradel Holdings’ modular refinery prepares to refine petrol
Henzodaily.ng reported that Adegbite Falade, the managing director and chief executive officer of Aradel Holdings, announced that the company would begin to refine premium motor spirit within a year during its rebranding and 30th anniversary.
Falade said the action is consistent with the company’s commitment to the diversification of the Nigerian economy and the development of local content.
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Source: Henzodaily.ng