Geregu Power’s profit more than doubles to $15 million in 9M 2024

Omokolade Ajayi -
Key Points
  • Geregu Power Plc's profit surged over 100% to N24.19 billion ($15.1 million) for the nine months ending Sept. 30, 2024.
  • Revenue doubled to N112.58 billion ($70.2 million), driven by increased energy sales and capacity charges during the same period.
  • Total assets grew 21% to N221.09 billion ($136.4 million), reflecting strong performance and ongoing investments in infrastructure.

Geregu Power Plc, a leading power company led by Nigerian billionaire Femi Otedola, has reported a sharp rise in profit for the nine months ending Sept. 30, 2024. The company’s profit more than doubled, reaching N24.19 billion ($15.1 million), compared to N11.36 billion ($7.2 million) in the same period in 2023, cementing its dominant position in Nigeria’s power sector.

The impressive growth was underpinned by a substantial 102-percent increase in revenue, which surged from N55.75 billion ($34.5 million) in 9M 2023 to N112.58 billion ($70.2 million) in 9M 2024. This growth was primarily driven by a rise in both energy sold and capacity charges.

Total energy sold climbed to N71.4 billion ($44.5 million) from N34.8 billion ($21.5 million) a year earlier, while capacity charges rose to N41.2 billion ($25.7 million), up from N20.9 billion ($12.9 million) in the prior year.

Otedola's Geregu: Financial transparency on display

Geregu Power, known for its transparency on the Nigerian Exchange, has once again become the first to publish its financials for the latest reporting period, underscoring its commitment to governance standards.

Founded in 2006, Geregu began supplying electricity to the national grid a year later. In 2013, a consortium led by Femi Otedola’s Amperion Power acquired the company, investing $94 million in a plant overhaul that increased capacity to 435MW. Otedola took full ownership in 2021.

As of Sept. 30, Otedola holds a 78.05-percent stake in Geregu, which is valued at $1.4 billion. The company’s growth trajectory has been closely tied to Otedola’s leadership, with his strategic investments and operational oversight, transforming Geregu into one of Africa’s fastest-growing power companies.

Geregu Power’s assets rise 21 percent

Geregu Power’s results in the 9M 2024 period also saw its total assets grow from N182.04 billion ($112.4 million) as of Dec. 31, 2023, to N221.09 billion ($136.4 million) by Sept. 30, 2024.

Retained earnings increased to N48.1 billion ($30.1 million) from N43.92 billion ($27.1 million), while total equity grew to N49.34 billion ($31.2 million), up from N45.15 billion ($28.1 million).

With strong financial results and leadership under Femi Otedola, Geregu Power continues to solidify its position in Nigeria's power sector. Ongoing investments in infrastructure and capacity are expected to further boost the company's role in the country's energy landscape.