Seplat Records N57bn Nine Months Profit, Declares N10.4bn Interim Dividend

Seplat Petroleum Development Company Plc, leading Nigerian independent oil and gas company, yesterday announced an interim dividend of about N10.4 billion for the nine months ended September 30, 2019. The dividend followed a profit after tax of N56.6 billion posted by the company for the review period, up from N27.9 billion in the corresponding period of 2018.

Seplat actually ended the nine months in 2019 with a revenue of N152 billion, down from N174 billion in 2018. Financing cost declined from N17.76 billion to N11.14 billion, while profit before tax fell from N65 billion to N56.7 billion.

However, a lower tax of N1.04 billion paid in 2019, compared with N37 billion in 2018, boosted the 2019 PAT to N56.6 billion, as against N27.9 billion in 2018.

According to the company, its recent £382 million cash acquisition of Eland Oil and Gas Plc would create more value opportunities for shareholders going forward.

Commenting on the results, the Chief Executive Officer, Seplat, Mr. Austin Avuru, said: “2019 so far has seen us make significant progress towards furthering our ambitious growth strategy. Our core business remains highly cash generative and with four rigs now operational in the field we expect to quickly regain momentum. This is reflected in our decision to declare an interim dividend of $29 million.”

“We have set the next major growth phase of our gas business in motion having taken FID for the large scale ANOH gas and condensate development to position us as Nigeria’s largest supplier of processed gas to the domestic market. In another major step, and in line with our overall growth strategy, we have made a strong statement of intent by becoming the first Nigerian company to undertake a public market acquisition of a London Stock Exchange listed company, and in doing so highlighted our ambitions to be a consolidator within our space.”