Oando Fires Up, Gains 12% as Investors Bet on ‘Possibilities’

Oando Plc’s market value surged by about 12% week on week as the group’s earnings direction was altered by its favourable tax positions. The market anticipates the bulky surge of 164% will boost investors’ sentiment, and triggered fresh re-rating.
In first 10 months, Oando lost 24% of its market value. Stockholders sell down after the energy group delivered mouthwatering returns to investors in 2024.
With the new earnings playbook. Oando saw a fresh significant weekly gain. The energy group share price surged to N48.05 on Nigerian Exchange on Friday as investors traded 32.101 million of Oando shares valued at N1.569 billion.
Trading actions on Oando increased as reflected in its three days upswings, reflecting investors’ positive interest in the oil stocks. Hence, the market value of Oando Plc’s 12.431 billion shares outstanding was adjusted to N597.329 billion, a significant discount to its 52-week high in the local bourse.
Oando Plc market value had surpassed N1 trillion mark early in 2025 before negative investors’ sentiment plunged the company into deep. The market anticipates Oando’s strong business fundamentals to boost earnings in 2025.
The group rode on tax credit in the third quarter; otherwise, its operational performance mirrored significant margin-pulling pressure. Investors’ negative sentiment has persisted, but a fresh rally suggests possible re-entry in anticipation of robust earnings performance in 2025.
Oando Plc’s profit after tax skyrocketed by 164% year-on-year, reaching N201.3 billion in the first nine months of the 2025 financial year, compared to N76.3 billion in the same period of 2024.
The group said the performance reflects the full consolidation of the NAOC JV assets acquired in 2024, marking a significant uplift in upstream capacity and operational resilience.
Production volumes improved across key assets, though crude liftings were lower than expected due to timing differences in cargo schedules. Strong upstream performance — including a 75% increase in natural gas sales — was partly offset by softer trading revenues and weaker realised prices.
MarketForces Africa noted that Group disclosed that its profitability was impacted by non-cash valuation and foreign exchange adjustments, resulting in an operating loss for the period.
In reaction to operational development, the group adjusted its 2025 key earnings guidance downward. Oando announced it has narrowed its full year production guidance to about 40,000 boepd.
The group said projected FY2025 capital expenditure of $120–130 million has been revised downwards due to rig availability constraints, focused on drilling, infrastructure, and ESG projects.
In its unaudited report, Oando revealed that the group’s capital expenditure rose by 178% to ₦74.9 billion from ₦26.9 billion in the equivalent period in 2024, reflecting increased upstream and infrastructure investments.
In its outlook for the year, the group maintained trading guidance at 25–35 MMbbl for crude oil. Refined product trading guidance has been suspended pending market recovery, according to Oando.
Oando reported that the group production averaged 38,121 boepd in 9M 2025, up 59% year-on-year and within guidance, supported by the consolidation of the NAOC JV interest and improved uptime.