Okomu Oil Palm Company Plc has projected a profit after tax of ₦1.99 billion for the third quarter of 2025, supported by a turnover of ₦23.02 billion.
The company’s forecast, signed by Chief Accountant Felix Odighizuwa (FCA) and Managing Director Dr. Graham Hefer, reflects stable operating performance amid high input costs and a challenging macroeconomic environment.
Total expenses, which include cost of sales as well as selling, general, and administrative expenses, are forecast at ₦20.45 billion, resulting in a profit before tax of ₦2.57 billion. No adjustments for extraordinary or exceptional items are anticipated during the quarter. The company expects to pay ₦578 million in taxes, leading to a net profit of ₦1.99 billion.
Despite solid operating earnings, Okomu Oil’s liquidity position is projected to tighten due to heavy investment spending. The company anticipates ₦1.76 billion in net cash from operating activities, but this will be offset by ₦4.69 billion in investment-related outflows and ₦653 million in financing costs. The result is a forecast net cash decrease of ₦1.59 billion, reducing the company’s bank balance from ₦2.09 billion to ₦504 million by the end of the quarter.
Financial Snapshot: Q3 2025 Forecast (₦ ‘000)
Metric
Amount (₦’000)
Turnover
23,024,865
Total Expenses
20,451,200
Profit Before Tax
2,573,665
Exceptional/Extraordinary Adjustments
Nil
Profit Before Tax (Post-Adjustment)
2,573,665
Taxation
578,103
Profit After Tax
1,995,562
Cash Flow from Operating Activities
1,778,103
Working Capital Changes
-18,333
Net Cash from Operating Activities
1,759,770
Cash Flow from Financing Activities
-653,260
Cash Flow from Investing Activities
-4,690,135
Net Cash Movement
-1,588,063
Opening Bank Balance
2,092,585
Closing Bank Balance
504,522
Outlook
Okomu Oil’s ability to maintain profitability in Q3 2025 demonstrates operational resilience, particularly in a high-cost environment. However, sustained investment outflows and reduced cash buffers highlight the need for careful liquidity management in the months ahead.
Meta Description: Okomu Oil forecasts ₦1.99 billion in Q3 2025 profit after tax, driven by ₦23 billion in revenue. Despite strong operational earnings, cash flow pressures persist due to significant investment outflows
Tags: Okomu Oil, Q3 2025 forecast, Nigeria agriculture, palm oil industry, agro-industrial sector, company earnings, profit forecast, Nigerian Stock Exchange, cash flow, investment outflows, net profit, naira outlook, inflation impact, financial results, corporate finance Nigeria
