By Ayomide Otitoju
Seplat Energy PLC has reported a profit after tax of $37.9 million for the first quarter of 2026, up from $23.3 million recorded in the same period of 2025, as the company sustained revenue growth and strong cash generation.
In its unaudited results for the period ended March 31, 2026, Seplat posted gross revenue of $840.7 million, representing a 4 per cent increase from $809.3 million in Q1 2025, supported by an average realised oil price of $86.16 per barrel.
The company also declared a total dividend of 9.0 cents per share for the quarter, comprising a base dividend of 5.0 cents and a special dividend of 4.0 cents, marking a 96 per cent increase year-on-year.
Group production averaged 129,841 barrels of oil equivalent per day (boepd), up 9 per cent from the previous quarter, driven by improved offshore output and contributions from natural gas liquids. Production in April has averaged approximately 153,000 boepd, keeping the company on track to meet its full-year guidance.
Operating performance was impacted by unplanned downtime on the Trans Forcados Pipeline, which affected onshore production, though output has since normalised following the resumption of pipeline operations in late March.
Seplat reported cash generated from operations of $337.9 million, a 10 per cent increase year-on-year, while adjusted EBITDA stood at $371.3 million, representing a 44 per cent margin.
Capital expenditure rose to $42.6 million during the quarter, with the company indicating that spending will increase in subsequent quarters as it advances key projects, including the Yoho restart and the ANOH gas development.
The company maintained a strong balance sheet, with cash at bank rising to $461.7 million and net debt declining by 21 per cent to $531.6 million.
Chief Executive Officer Roger Brown said the company is well-positioned to benefit from higher oil prices despite ongoing global uncertainties.
“The conflict in the Middle East has significantly altered the outlook for the oil and gas industry in 2026,” he said, noting that Seplat’s asset portfolio and financial strength position it to deliver robust cash flows.
He added that while production in the first quarter fell slightly below expectations due to operational disruptions, improved output in April and upcoming project milestones are expected to drive stronger performance in the second quarter.
Seplat reaffirmed its 2026 production guidance of 135,000 to 155,000 boepd and capital expenditure outlook of $360 million to $440 million, maintaining its focus on growth and operational efficiency.
