Aradel Sees Fractional Loss in Stock Value after Earnings Release
Aradel Holdings saw fractional loss of about 7% in its stock value on the Nigerian Exchange, NGX, despite strong earnings performance. The company share price plunged to N530 on Friday as more than 1.2 million units valued at N637 million were traded on the Nigerian Exchange, from N569.30.
Analysts said ARADEL is trading at significant discount to its 52-week in the equities market. Data from the Nigerian Exchange revealed that the oil stock is trading at 37.65% below its record high of N850.1.
In 2024 earnings release, Aradel Holdings Plc grew profit by 142% year on year in 2024, according details from its audited financial report submitted to the Nigerian Exchange.
The oil company profit was primarily supported by a significant surge in share of profit from associate companies. The company’s revenue profit rose to $167.47 million at the end of 2024, from $69.112 million in the comparable period in 2023, its audited results showed.
The bottom line growth was bolstered by about 15% year on year in revenue in the period. Revenue grew to $392.67 million, from $342.336 million in 2023. Operating profit came at $201.46 million in 2024, 15% above $138.616 million the company delivered in 2023 as other income line spiked year on year.
Aradel Holdings other income gains of $21.46 million, which upturned other loss of $35.67 million in 2023 reflated its performance. This comes in addition to share of profit from an associate of $21.09 million, up by 322.2% from $9.94 million in 2023.
The oil company also enjoyed a lower effective tax rate of 23.0% in the period. Total tax expenses came at about $50 million in 2024, from $64.96 million in the comparable period in financial year 2023. #Aradel Sees Fractional Loss in Stock Value after Earnings Release
