Geregu Power’s Profit Falls by 28% in Q1-2025

Geregu Power’s Profit Falls by 28% in Q1-2025

Geregu Power Plc’s profit fell by about 28% year on year to N10.431 billion in the first quarter of financial year 2025, according to its unaudited financial statement obtained by MarketForces Africa.

Details showed that the power generation company’s revenue for the period declined by more than 37% year on year to N31.758 billion from N50.428 billion in the comparable period in 2024.

Reflecting a lower activity level, costs of sales declined by 10.27% year on year  to N19.755 billion at the end of the first quarter of 2025 from N22.018 billion 12 months ago.

A slower cost of sales reduction drags gross profit downward sharply. The company’s unaudited financial statement revealed that Geregu posted N12.002 billion in gross profit in Q1-2025, about a 58% decline versus Q1-2024 profit of N28.409 billion.

Geregu Power report showed that other losses declined significantly while impairment loss on financial assets also reversed—helping the company to weather its earnings crisis experience in Q1. These had positive effects on Geregu Power’s operating profit, which settled at N14.665 billion, about 33% below N21.766 billion posted in Q1-2024.

Due to borrowing obligations, the company’s net finance income in Q1-2024 turned red 12 months after. Instead of net finance income posted in 2024, Geregu Power announced N1.650 billion as net finance costs for Q1-2025.

Hence, pretax profit declined by about 41% year on year to N13.014 billion in Q1-2025 from N21.900 billion in the comparable period in 2024. Net income settled at N10.431 billion in Q1-2025, about 28% below N14.461 billion reported in the first quarter of financial year 2024. #Geregu Power Profit Falls by 28% in First Quarter of 2025 First Holdco Falls below N1 Trillion in Equities Market