₦airaland Forum

yMcy56:
CONHALLPLC also on full bid......
McNichols also

KarlTom:
I think 10,048,237,955 units were 'added' (see Pg 32)...

Probably part of the recapitalization drive

Raider76:
Could be a good daytrade day for Oando.

Locotrader:
Yes, I came out because of E tranzact and CWG.
These used to be stocks of low profit margins in the past but today they have repositioned.Wait for CHAMS result any moment from now and see with your eyes how far they have improved.
Apart from omatek and NCR that needs restructuring,other stocks in the ICT sector are candidates of N10,N15,N20.
Cwg,E tranzact and Chams ,your own time has come.

I came back in peace.

megawealth01:
I will now wait for Oando at bargain price to mop up what I can afford to lose just as a topup on the little I have been holding since last year...

Wale na man you bi

Locotrader:
Yes, I came out because of E tranzact and CWG.
These used to be stocks of low profit margins in the past but today they have repositioned.Wait for CHAMS result any moment from now and see with your eyes how far they have improved.
Apart from omatek and NCR that needs restructuring,other stocks in the ICT sector are candidates of N10,N15,N20.
Cwg,E tranzact and Chams ,your own time has come.

I came back in peace.

yMcy56:
Dey no wan make this OANDO wahala finish
Anyone looking for bargain should better keep eye on this round of dumping session...😁

If 84% is now on the management side, to move it can't be difficult once they're ready.....

We re also still awaiting board meeting outcome on the share/cash distribution.......😊

designking:
Oando Q4 2024 Financial Performance: A Year of Growth Amidst Challenges


Oando has released its unaudited financial statements for the year ending December 31, 2024, showing a mixed performance driven by substantial revenue growth but impacted by rising costs and increased finance expenses. Despite the challenges, the company’s revenue surge and its strategic business moves provide a fascinating glimpse into its resilience and future potential.

Oando’s total revenue for 2024 soared to N4.12 trillion, up from N2.85 trillion in 2023, representing an impressive 45% increase. This remarkable growth was primarily fueled by a significant rise in sales volumes, which climbed to N3.84 trillion from N2.76 trillion. The growth in sales volumes points to increased demand for Oando's products and services, highlighting the company's ability to tap into a growing market amidst tough economic conditions. The increase in revenue is a strong indicator of the company’s operational strength and the effectiveness of its sales strategies.

A key highlight of Oando’s 2024 performance was its substantial improvement in gross profit, which surged from N85 billion in 2023 to N282.5 billion. This nearly threefold increase emphasises the company's ability to manage its production and operational costs efficiently, despite the inflationary pressures and rising global prices affecting the oil and gas sector. The growth in gross profit demonstrates Oando’s strong operational management and its capacity to retain a solid portion of its earnings amid higher expenses.

While Oando experienced growth in core business revenues, its other income—earned from non-core business activities—saw a decline, dropping from N399.9 billion in 2023 to N349.7 billion in 2024. Although the company earned less from non-core activities, this decline was somewhat offset by its robust performance in its main operations.

However, the company’s operating income, a measure of its core business profitability, saw a marginal increase to N220.2 billion from N218.3 billion. This rise can be attributed to higher revenues, though it also reflects the company’s increased expenditures. Operating expenses climbed in 2024, driven by inflation, expansion efforts, and rising administrative costs, including higher salaries and office-related expenses.

In 2024, Oando's finance costs ballooned to N173.6 billion, up from N116.4 billion in the previous year. This surge was largely due to higher interest payments on debt, a reflection of the company’s financing strategies and the global interest rate environment. On the other hand, Oando also experienced a positive rise in finance income, which grew from N16.8 billion in 2023 to N58.4 billion in 2024. While this helped offset some of the rising finance costs, it wasn’t enough to shield the company from the overall financial pressures.

Despite the revenue growth, Oando’s profit before tax (PBT) dropped significantly in 2024, falling to N47.7 billion from N102.9 billion in 2023. This decline in pre-tax profits indicates that the increase in revenue could not fully offset the rising operational and finance costs. The company's bottom line was further impacted by a larger loss for the period, which grew to N232 billion compared to a loss of N133 billion in 2023. This stark loss highlights that, despite strong revenue generation, the company faced substantial challenges in managing costs and financial pressures, leading to a negative net income.

One of the more consistent aspects of Oando’s performance was its earnings per share (EPS), which remained steady at N5 per share, identical to the previous year. This consistency in EPS indicates that the company’s basic profitability did not fluctuate dramatically, despite the overall loss. As of the end of January 30 2025, Oando’s market price stood at N76.00 per share, with an earnings yield of 6.68%. This reflects the market’s valuation of the company based on its current performance and potential future growth.

Recommendations: Hold or Sell?

Oando’s 2024 financials present a complex picture for investors. On one hand, the company saw impressive revenue growth and a notable increase in gross profit, suggesting strong operational capacity and market positioning. However, the significant increase in costs, particularly in finance charges and operating expenses, weighed heavily on its profitability. The higher-than-expected loss and the drop in profit before tax raise concerns about the company’s ability to manage its costs effectively in a challenging economic environment.

For investors, the recommendation would be to "HOLD" unless there is a clear strategy for improving cost management and enhancing operational efficiency. While the company has demonstrated resilience in driving revenue growth, the rising operational and finance costs remain a significant concern. Moreover, the larger loss for the period could have negative implications for shareholder returns in the short term. However, for those with a long-term investment horizon, Oando’s strong revenue growth, coupled with its market presence, may offer promising upside once the company addresses its cost structure and financial leverage.

While Oando has shown growth in key financial metrics, the challenges of rising costs, finance expenses, and overall financial losses signal that investors should be cautious and consider holding their positions until clearer signs of improved cost management and profitability emerge.

Fundlocator:
Senior Man, you are welcome. We don miss you o.
Na so so English we dey hear since you left and criticism,
people wey no fit predict 1% stock appreciation

Abeg drop JIJO for Men o.

Locotrader:
Yes, I came out because of E tranzact and CWG.
These used to be stocks of low profit margins in the past but today they have repositioned.Wait for CHAMS result any moment from now and see with your eyes how far they have improved.
Apart from omatek and NCR that needs restructuring,other stocks in the ICT sector are candidates of N10,N15,N20.
Cwg,E tranzact and Chams ,your own time has come.

I came back in peace.

Streetinvestor2:
I don't understand this your 84% you are talking about here.Pls explain

Fundlocator:
Senior Man, you are welcome. We don miss you o.
Na so so English we dey hear since you left and criticism,
people wey no fit predict 1% stock appreciation

Abeg drop JIJO for Men o.

Streetinvestor2:
I am waiting to equally see chams results. Just my thoughts,stop dropping stock by anyhow going forward. When you sense jijo stock buy and enjoy your ride.Or be dropping it coded to avoid too many name calling.
I no dey ready again to help anyone make or loose money because it adds no value to me..I have taken new position in some stocks in my jijo
portfolio as results come out for 2025 while I rebalance my investment portfolio

Sunrisepebble:
https://doclib.ngxgroup.com/Financial_NewsDocs/43064_NIGERIAN_AVIATION_HANDLING_COMPANY_PLC-_YEAR_END_-_FINANCIAL_STATEMENT_FOR_2024_FINANCIAL_STATEMENTS_JANUARY_2025.pdf

NAHCO - Q4 Standalone EPS:N1.90 less than N3 in Q3
FY24 EPS N6.60
The stock is fairly priced

GeeKudi:
That's expected.

Hopefully, there would be a cooperate action on the share redistribution soon.

Locotrader:
Thank you my oga.
It's in my blood to drop a winning stock but can only come out once in a while to do it henceforth.

The ingrets here want to spoil show for people but because of the good ones,we move

Locotrader:
Yes, I came out because of E tranzact and CWG.
These used to be stocks of low profit margins in the past but today they have repositioned.Wait for CHAMS result any moment from now and see with your eyes how far they have improved.
Apart from omatek and NCR that needs restructuring,other stocks in the ICT sector are candidates of N10,N15,N20.
Cwg,E tranzact and Chams ,your own time has come.

I came back in peace.

essentialone:
Welcome back. But ETranzact is an illiquid stock.

mikeapollo:
Yes, it could be a deliberate decision to first release the ''negative'' or ''not-too-good'' news (which will cause a decline in share price), and later release the ''positive'' news (which could cause price to rise again), instead of doing it the other way round.

ositadima1:
Financial Analysis of Oando PLC for the Year Ended 31 December 2024


1. Profitability
Revenue & Profitability:

The Group reported a profit of N65.5 billion for the 12 months ended December 2024, driven by the Exploration & Production (E&P) segment (N141.9 billion profit).

However, Q3 2024 saw a loss of N10.8 billion, primarily due to high administrative expenses (N402.7 billion annually) and finance costs (N232.1 billion).

The Supply & Trading segment improved significantly, turning a profit of N61.1 billion in 2024 compared to a loss in 2023.

2. Financial Position
Assets:

Total assets grew by 109% (N3.9 trillion in 2024 vs. N1.9 trillion in 2023), driven by acquisitions (e.g., NAOC) and revaluation of property, plant, and equipment (N2.04 trillion).

Intangible assets (e.g., goodwill, exploration assets) surged to N1.27 trillion, reflecting acquisitions and ongoing upstream investments.

Liabilities:

Total borrowings increased to N2.76 trillion (2024), with significant short-term debt (N1.05 trillion).

Lease liabilities (N8.99 billion) and decommissioning provisions (N93.7 billion) add to long-term obligations.

3. Cash Flow
Operating Activities: Net cash used in operations was N545.5 billion (2024), compared to positive cash flow in 2023, driven by working capital changes (e.g., receivables).

Investing Activities: Cash outflow of N686.2 billion due to acquisitions (e.g., NAOC) and capital expenditures.

Financing Activities: Reliance on debt (N2.27 trillion proceeds) to fund expansion, leading to a net cash inflow of N1.46 trillion.

4. Key Risks
High Leverage: Debt-to-equity ratio deteriorated, with total liabilities exceeding equity (N2.76 trillion vs. N273 billion equity). Interest expenses (N232.1 billion) strain profitability.

Legal & Contingent Liabilities:

Pending litigation (e.g., minority shareholder disputes, arbitration settlements).

Contingent liabilities from guarantees and unresolved tax claims.

Foreign Exchange Volatility: N155.9 billion foreign exchange loss in 2024 highlights exposure to currency fluctuations.

5. Strategic Moves
Acquisitions:

Completed the NAOC acquisition (OMLs 60–63) for N458.2 billion, boosting upstream assets.

Expansion into Angola’s Block KON 13 signals growth in exploration but adds execution risk.

Go-Private Initiative: Ongoing court battles with minority shareholders over the N7.71/share buyback scheme could delay restructuring.

6. Segment Performance
Exploration & Production (E&P):

Revenue: N416.9 billion (2024), up 229% YoY.

Operating profit: N218.9 billion (98% of Group total).

Supply & Trading:

Revenue: N3.7 trillion (2024), with a turnaround to N70.8 billion operating profit.

Corporate & Others: Drag on profits (N135.4 billion loss), likely due to consolidation adjustments and restructuring costs.

7. Outlook
Upside: Upstream growth (NAOC integration, Angola block) could boost reserves and production.

Downside: Debt servicing, legal disputes, and volatile oil prices threaten liquidity.

yMcy56:
Thanks
Na page 31 my own open reach when I downloaded it, maybe it was network.

If minority and fundamentalists don't dump, how will substantial shareholders be able to increase their stakes the more.....
We must see to the end of all these...😁

tijany130:

KarlTom:
I think 10,048,237,955 units were 'added' (see Pg 32)...

Probably part of the recapitalization drive

Locotrader:
Thank you my oga.
It's in my blood to drop a winning stock but can only come out once in a while to do it henceforth.

The ingrets here want to spoil show for people but because of the good ones,we move

megawealth01:
I will now wait for Oando at bargain price to mop up what I can afford to lose just as a topup on the little I have been holding since last year...

Wale na man you bi

mikeapollo:
You will not lose anything if you buy Oando at your bargain price and qualify for the share redistribution.
The prospects are bright but one has to be patient for the long wait and in good health, God willing.