Presco Plc, one of Nigeria’s major palm oil producers, has reported strong financial results for the first quarter of 2025, showing significant growth across key performance areas. The company’s unaudited financial statements for the period ended March 31, 2025, which were recently filed with the Nigerian Exchange Limited, reveal that Presco recorded a revenue of N93.8 billion—representing a 120.4 per cent increase from the N42.5 billion posted during the same period in 2024.
This sharp growth reflects improved operational performance and rising demand for palm oil products. The firm’s gross profit surged to N86.1 billion in Q1 2025, a 154.8 per cent jump from N33.8 billion in the corresponding period of the previous year.
Operating profit also rose significantly by 117.6 per cent, reaching N69.1 billion compared to N31.7 billion recorded in Q1 2024. Similarly, earnings before interest, tax, depreciation, and amortisation (EBITDA) climbed to N71.6 billion, marking a 117.9 per cent increase from N32.8 billion last year.
The company reported a profit before tax of N58.6 billion, up from N29.7 billion in Q1 2024—representing a 97.6 per cent rise. Profit after tax stood at N47.6 billion, almost doubling from N24.1 billion recorded in the same quarter last year. Earnings per share followed the same trend, moving from N2.41 to N4.76, indicating stronger returns for shareholders.
Presco’s balance sheet also showed notable changes. As of March 31, 2025, the company’s total assets had increased by 15.5 per cent to N548.6 billion, up from N475.1 billion as of December 2024. Current assets rose by 36.1 per cent to N232.4 billion, reflecting a healthier liquidity position.
However, total liabilities grew significantly by 40.1 per cent to N369.6 billion. Within this, current liabilities increased slightly by 2.5 per cent to N179.3 billion. Despite the strong income figures, the company’s equity dropped by 15.3 per cent to N178.9 billion, raising some questions about balance sheet management and capital structure.
The company’s recent performance comes after shareholders approved a total of N227 million in remuneration for directors and amid talks about raising N100 billion through a bond issuance. The capital raise is expected to support further expansion and operational activities as demand for palm oil remains strong in local and international markets.
Presco’s growth story continues to reflect broader trends in Nigeria’s agribusiness sector, where local producers are gaining strength despite economic challenges. The surge in the company’s profits and revenue points to increased operational efficiency, possibly improved pricing strategies, and higher output volumes.
While Presco has delivered a positive result in terms of revenue and profit, the sharp rise in liabilities and drop in equity suggest that investors and stakeholders will be watching the company’s debt levels and financial strategy closely in the coming quarters.
