Seplat posts 461 per cent profit surge in H1

Seplat Energy Plc, an independent energy company listed on both the Nigerian Exchange (NGX) and the London Stock Exchange (LSE), has reported a 461 per cent increase in profit before tax (PBT).

The profit grew to N244 billion from N43.5 billion recorded in the first half (H1) of 2024.

The company’s financial statement revealed that cash generated during the period reached N308.2 billion, showcasing significant growth and operational efficiency.

The company in its unaudited H1 results released to the NGX and LSE yesterday revealed that its operating profit was advanced to N285.2 billion from N60.2 billion, translating to 373.7 per cent.

The company declared cents dividends per share and achieved more than 4.9 million hours without lost time injury (LTI) at Seplat-operated assets within the same period.

The company had pipeline losses of 3.1 per cent in H1, highlighting an improved environment for stable operations with improved average deferments to 24 per cent from 26 per cent recorded in H1 2023.
The company mentioned that ANOH gas project is on track to reach the first gas by the end of this quarter as critical infrastructure progressed well in the second quarter (Q2) 2024.

Seplat reported revenue of $421.6 million in H1, from $547 million in H1 2023. H1 2024 saw an underlift of $55.8 million, compared to an overlift of $59.4 million in H1 2023, it said.

“Capex invested $102.4 million (six million 2023: $88.8 million), balance sheet cash at 6M 2024, $371.8 million (three million 2024: $335.6 million), $128 million Mobil Producing Nigeria Unlimited (MPNU) deposit not included. Net debt at end of June $366 million, down from $385 million at end 1Q 2024. $19.3 million of Reserve-Based Lending (RBL) borrowings were repaid in 6M 2024. Net Debt to EBITDA was 0.76x while Q2 2024 dividend declared of US$3.0 c/share and 6M 2024 total declared dividends US$6.0 c/share (6M 2023: US$6.0 c/share),” the company stated.

Chief Executive Officer, Seplat Energy, Roger Brown, said the company has delivered a solid performance in H1 2024 as the continued operation strength positions it well for the second half of the year.