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Oando Gross Profit Plunges 82% Amid Upstream Expansion

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Oando

Oando’s 2025 gross profit falls 82% despite 32% production growth as margin pressure and strategy shift impact earnings

Oando Plc reported an 82% drop in gross profit for 2025, even as the company boosted upstream oil and gas production by 32%, reflecting a strategic shift away from downstream trading.

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Also read: Afreximbank Backs Oando Expansion with $375m Oil Sector Milestone

The energy firm posted a gross profit of N27.8 billion for the year ended December 31, 2025, down sharply from N155.9 billion in 2024, while revenue declined 21% to N3.21 trillion.

Analysts attributed the decline primarily to margin compression across crude oil, gas, and natural gas liquids, alongside lower realised crude oil prices averaging $65.23 per barrel, down from $73.91 in 2024.

Operating profit fell 91% to N50.2 billion, despite strong upstream volumes.

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Average production reached 32,482 barrels of oil equivalent per day (boepd) net to Oando, driven by the full-year consolidation of Nigerian Agip Oil Company Joint Venture assets.

Crude oil liftings rose 30%, while gas sales increased 59%, supporting cash flow amid weak trading margins.

CEO Wale Tinubu described 2025 as a “transition year,” noting that the company reinforced asset integrity, improved uptime, and began its development drilling programme, including the successful Obiafu-44 gas-condensate well the first of a planned 36-well initiative.

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Profit after tax, however, rose 10% to N241.3 billion, supported by non-operating gains, highlighting financial resilience despite operational margin pressure.

Capital expenditure surged to N101.9 billion, up from N18.5 billion, reflecting investment in upstream development and long-term growth initiatives.

To support its growth strategy, Oando also executed the first tranche of a 1.28 billion share distribution programme in August 2025 and plans further equity raising and debt conversion proposals for 2026, aimed at reducing legacy obligations and enhancing financial resilience.

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Also read: Oando Profit Surge hits ₦210bn, Marks 164% Rise

Analysts say the results demonstrate a deliberate pivot toward upstream development and asset integrity, with short-term profitability sacrificed for sustainable long-term growth.

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Rest of World to Shut Down as Search for New Home Continues

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Rest of World

Rest of World shutdown plans point to January 2027 as leaders seek a new institutional home for the nonprofit technology newsroom

Rest of World, the international nonprofit digital publication known for reporting on technology’s impact beyond Western markets, is preparing to end operations as an independent organisation in January 2027 while its leadership searches for a new institutional home.

Also read: Flamingos Target Quarter-Finals in Mexico Clash

Deputy Editor Rina Chandran confirmed the development in a LinkedIn post on Monday, October 26, 2026, saying the newsroom would continue publishing until the end of January as efforts to secure a future for the publication continued.

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“Yes, it’s true: Rest of World is shutting down. After six years of award-winning reporting, our leadership is searching for a new home for the publication that was launched to cover innovation outside the West,” Chandran wrote.

She recalled joining the publication as its Southeast Asia editor in Bangkok before moving to San Francisco, where she became a deputy editor covering how technology developed in Silicon Valley affects people in other parts of the world.

Chandran described working with the publication’s reporters, editors, freelancers and columnists as a privilege, expressing appreciation for the people who contributed to its journalism.

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She also reassured contributors that work already commissioned would still be published and that existing journalism would be preserved and remain accessible.

“If you are a freelancer or columnist who has already been commissioned, you’re good! Your work will be preserved and continue to be accessible,” she wrote, thanking readers, donors and supporters.

The announcement follows a report by Semafor on Sunday that Rest of World founder and principal financial backer Sophie Schmidt had held discussions with several large institutions about potentially taking over the newsroom.

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According to Semafor, two people familiar with the plans said a late-January wind-down date had been set to give employees time to receive exit packages and seek new jobs if efforts to find a new institutional home failed.

Schmidt reportedly told donors that the publication would stop operating as a standalone entity at the end of January.

The proposed closure comes amid a reported decline in traffic from web searches and social media referrals over the preceding 18 months.

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The publication had attempted to retain readers by placing greater emphasis on Western audiences and requiring visitors to register before accessing articles.

Founded in 2020, Rest of World sought to broaden technology journalism beyond the traditional focus on Silicon Valley and other Western technology centres.

Its reporting examined how digital products, platforms and infrastructure shape everyday life, work and economies in emerging markets and other underreported regions.

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Schmidt pledged $60m to establish the project as a nonprofit newsroom.

Over the years, its coverage has explored technology-driven changes in labour markets, digital infrastructure, artificial intelligence and the influence of major technology companies.

The publication’s 2025 annual report said it reached more than 753,000 readers monthly across platforms and channels, with reporting spanning nearly 40 countries during the year.

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Those figures illustrate the scale of its international reporting, even as the organisation faces difficulties sustaining its current operating model.

The planned end of independent operations does not necessarily mean the publication’s journalism will disappear.

Its leadership is seeking an institution that could provide a future for the newsroom, while Chandran has said its existing work will remain accessible.

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Also read: Flamingos Target Quarter-Finals in Mexico Clash

Whether a suitable organisation will take over the publication, and what form Rest of World might take under new ownership or institutional support, remains unresolved.

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