Presco Plc has published its audited financial results for the year ended December 31, 2025, reporting a pre-tax profit of N177.98 billion, indicating a 57.4% increase from N113.22 billion recorded in 2024.
The result filed to the Nigerian Exchange on Friday, May 1, 2026, shows a strong performance driven by robust growth in core palm oil revenues, supported by higher product prices, increased production capacity, and strategic expansion across its operations.
The agro-allied company has proposed a final dividend of N14.66 per 50 kobo share, which, when combined with interim dividends already paid, brings the total dividend for the year to N44.66 per share, subject to shareholder approval at the Annual General Meeting (AGM).
Analysis of the company’s performance shows that revenue growth was primarily driven by its core palm oil business, particularly the sale of crude palm oil (CPO) and palm kernel oil (PKO).
Overall revenue rose by 59.3% to N330.64 billion, supported by:
In addition to core operations, the company recorded strong contributions from other income sources, including foreign exchange gains and fair value gains on biological assets, although the primary driver of growth remained its palm oil segment.
After income tax expense which increased sharply by 59.8% to N56.63 billion, post-tax profit settled at N121.35 billion, up 55.9% year-on-year, reflecting solid operational performance.
Presco Plc recorded strong balance sheet expansion in 2025, driven by aggressive investments and acquisitions, although rising costs and cash outflows posed short-term pressures.
Capital expenditure rose by 33.3% to N79.16 billion, while acquisitions consumed N163.18 billion in cash, significantly weighing on liquidity.
The market is yet to react to the dividend announcement, as the results were released on Friday, May 1, a public holiday in celebration of Workers’ Day.
Presco is currently among the most valuable stocks on the Exchange, with a market capitalisation of approximately N2.68 trillion.
Presco Plc’s strong FY2025 performance was underpinned not just by robust earnings but by an aggressive expansion strategy aimed at scaling production and consolidating market leadership.
The company deepened its footprint with the acquisition of over 10,000 hectares of oil palm estates in Nsádop and Boki, significantly expanding its plantation base and strengthening its ability to meet rising domestic demand for edible oils.
It had launched a N236.67 billion rights issue targeted at funding acquisitions and capital projects, highlighting a deliberate push to accelerate growth, expand processing capacity, and strengthen its integrated value chain.
However, this expansion-led growth has come with rising operating costs, increased borrowings, and higher tax expenses as trade-offs, and could weigh on margins in the near term.
Going forward, Presco’s ability to efficiently integrate new assets, manage financing costs, and sustain strong output from its expanded plantation base will be critical to maintaining profitability and delivering long-term value to shareholders.
