Geregu Power Plc has forecast a post-tax profit of N12.1 billion for the fourth quarter of 2025.
ABUJA, FCT – September 11, 2025 – Geregu Power Plc has forecast a post-tax profit of N12.1 billion for the fourth quarter of 2025. According to a projection filed with the Nigerian Exchange (NGX), this would bring the company’s potential full-year profit for 2025 to approximately N44 billion or more, assuming all quarterly estimates are met.
The optimistic forecast follows a strong second-quarter performance where the company surpassed its profit estimates, signaling positive momentum for the second half of the year.
A Strong Finish: Analyzing the Quarterly Projections
Geregu Power’s Q4 forecast of N12.1 billion shows an expected increase from its third-quarter estimate of N11.7 billion, for which official results have not yet been released.
The company’s performance in the first half of 2025 provides important context for these projections:
Q1 2025: The company reported a post-tax profit of N10.4 billion with an Earnings Per Share (EPS) of N4.17. This was slightly below its projection of N11.3 billion and N4.5 EPS but remained a profitable quarter.
Q2 2025: Geregu exceeded its estimate of an N8.6 billion profit (N3.46 EPS), delivering an actual profit of N9.7 billion and an EPS of N3.9.
Revenue Surge in Second Quarter Drives Optimism
A significant factor behind the positive outlook is Geregu Power’s top-line performance, which improved substantially in the second quarter of 2025.
Revenue for Q2 surged to N55.8 billion, a major increase from the N30.2 billion recorded in the same quarter of the previous year. This revenue was primarily driven by N35.8 billion from energy sales, with the remaining N19.9 billion coming from capacity charges. After accounting for the cost of sales, the company’s gross profit grew by 81.8% to N23.7 billion, up from N13 billion in the prior year. This was a strong recovery from the first quarter, which saw revenue of N31.7 billion.
Solid Operational Health Underpins Profitability
Geregu has maintained strong operational health through the first half of 2025. In the second quarter, the company reported an operating profit of N15 billion, a 73.7% increase from N8.6 billion in Q2 2024. This was achieved even as impairment losses on financial assets rose to N6 billion from N2 billion, demonstrating the strength of its core operations.
In the first quarter, the company recorded an operating profit of N14.6 billion. During this period, it successfully reversed a prior year’s impairment loss of N3.9 billion into a profit of N5.2 billion while keeping administrative expenses in check.
Looking ahead, Geregu Power’s ability to meet its ambitious Q4 target will likely depend on maintaining strong revenue growth and continued prudent cost management.
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