Eterna grows revenue by 71% to N313bn, returns to profitability

Eterna Plc, an integrated energy company, has demonstrated remarkable resilience and strategic growth, posting a 71 percent increase in revenue to N313.6 billion for the year ended December 31, 2024.

This impressive performance marks a significant turnaround for the company, which returned to profitability after navigating a challenging economic landscape.

The audited consolidated financial statements reveal a year of transformation for Eterna, as the company capitalised on emerging opportunities, optimised operations, and strengthened its market position.

Despite headwinds such as fluctuating oil prices, foreign exchange volatility, and intense competition, Eterna delivered robust financial results, underscoring its adaptability and operational excellence.

Revenue growth and market expansion

Eterna’s revenue surged to N313.6 billion in 2024, up from N183.2 billion in 2023, driven by the increased price of petroleum products, strategic partnerships, and enhanced operational efficiencies.

This growth reflects the company’s ability to expand its market share and leverage opportunities in Nigeria’s dynamic energy sector.

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Cost management and profitability

Eterna’s focus on cost management played a critical role in its return to profitability. While the cost of sales rose to N273.6 billion in 2024, in line with increased revenue, the Group achieved a gross profit of N39.9 billion—up from N16.8 billion in 2023. This represents a remarkable 237% year-on-year increase. Additionally, the Group improved its gross profit margin to 12.7%, compared to 9.2% in the previous year.

Operating profit soared to N27.9 billion in 2024, a fourfold increase from N7.8 billion in 2023, highlighting the company’s ability to generate higher returns from its core operations. This improvement was achieved through supply chain optimisation, operational efficiencies, and prudent cost control.

Overcoming Challenges

Eterna faced significant challenges in 2024, including a net foreign exchange loss of N15.7 billion, primarily due to the settlement of foreign currency-denominated obligations as part of the Board’s strategy to strengthen the company’s balance sheet.

However, the company’s strategic decision-making and effective risk management enabled it to mitigate these impacts. Profit before tax stood at N4.48 billion, a remarkable turnaround from a loss of N11.97 billion in 2023. Profit after tax also improved to N1.34 billion, compared to a loss of N9.43 billion in the previous year.

Looking Ahead

Gabriel Ogbechie, chairman of Eterna PLC, commented on the company’s performance, saying, “Eterna’s performance in 2024 sets a solid foundation for future growth. The company remains committed to driving innovation, expanding its market presence, and delivering value to shareholders. Eterna Plc’s remarkable turnaround in 2024 is a testament to its strategic vision, operational excellence, and unwavering commitment to growth in Nigeria’s dynamic energy landscape.”

Olumide Adeosun, managing director of Eterna PLC, added, “Our results for 2024 reflect the resilience and determination of our team. We have navigated challenges, seized opportunities, and emerged stronger. As we look to the future, we remain focused on delivering sustainable growth and creating value for all stakeholders.”