By Ayomide Otitoju
The Nigerian National Petroleum Company Limited (NNPC) has reported a record net profit of ₦3.297 trillion for the financial year ending December 2023, marking a significant 28 percent increase from the ₦2.548 trillion profit recorded in 2022. This ₦700 billion surge highlights the company’s continued financial growth and operational resilience.
At a press conference held at the NNPC Towers in Abuja on Monday, the company’s Chief Financial Officer, Umar Ajiya, emphasized that the release of the 2023 Audited Financial Statement (AFS) underscores NNPC’s commitment to transparency and accountability.
“Our fiscal performance reflects both strategic foresight and operational resilience. Despite the inherent challenges of our operational and economic environment, we have improved the productivity and financial performance of this great company,” Ajiya stated.
Ajiya noted that the impressive financial results demonstrate NNPC Ltd.’s dedication to sustaining profitability and supporting national energy security, as mandated by the Petroleum Industry Act (PIA) 2021. He also hinted at a potential Initial Public Offering (IPO) in the future, pending approval from shareholders and the board, and dismissed rumors regarding subsidy payments, clarifying that the company is managing the shortfall in PMS importation in partnership with the Federation.
NNPC Ltd. Board Chairman, Chief Pius Akinyelure, attributed the company’s exceptional performance to the implementation of the PIA 2021 and the collective efforts of the board, management, and staff. He also announced that shareholders have approved a final dividend of ₦2.1 trillion, in line with PIA provisions.
Executive Vice President, Upstream, Oritsemeyiwa Eyesan, highlighted the company’s efforts to combat crude oil theft and pipeline vandalism, which have bolstered production. Eyesan expressed confidence that NNPC Ltd. will achieve a daily crude oil production target of two million barrels by the end of the year.
Addressing the recent fuel queues in Lagos and the Federal Capital Territory, Executive Vice President, Downstream, Dapo Segun, urged Nigerians to remain patient as the company works with stakeholders to resolve distribution and logistics challenges.
NNPC’s financial trajectory has been on a steady rise since 2021 when it first posted a profit after years of losses. From a loss of ₦803 billion in 2018, the company turned around its fortunes, posting a profit of ₦287 billion in 2020, followed by ₦674.1 billion in 2021, and ₦2.548 trillion in 2022. The ₦3.297 trillion profit declared for 2023 is the highest in the company’s 46-year history.
