Geregu Power sheds weight as revenue, profit drop in Q3, 2022


Geregu Power Plc reported total revenue of about N39 billion in the third quarter financial period ended September 30, 2022.

The figure however represents a drop to the tune of 28.2 percent compared with N54.3 billion recorded in the same period in 2021.

The first power company to be listed on the platform Nigerian Exchange Limited also had its profit dipped by -11.45 percent from about N11.33 billion as at September 30, 2021 to about N10.03 billion in Q3, 2022.

Profit before tax also dropped by 19.04 percent to N13.96 billion in the review period as against N17.24 billion recorded in Q3, 2021.

However, the company’s cost of sales improved by 28.9 percent as the figure dropped to about N20.06 billion as against N28.21 billion printed in the same period in 2021. Administrative expenses dropped significantly from N10.98 billion in Q3, 2021 to N2.93 billion in Q3, 2022.

For shareholders, the Q3 financial performance is not a good omen as Earnings per Share ( EPS) dropped by 11.48 percent, from 453 kobo per share in Q3, 2021 to 410 kobo per share. The implication is that the ability of the company to be able to pay a robust dividend at the end of the financial year 2022 is at a risk if the trend is sustained in the last quarter of the financial year.

Total Assets however grew by 48.9 percent to N170.98 billion in third quarter of 2022 from N114.82 billion in third quarter of 2021.

Geregu Power Plc recently listed a total of 2.5 billion ordinary shares priced at N100 per share, under the Utilities sector and Electric Power Generation sub-sector of NGX, with the trading symbol, GEREGU.

By the listing, the market capitalization of NGX Limited was increased by N250billion,further boosting liquidity in the Nigerian capital market and providing opportunities for wealth creation.

Geregu Power, a leading power generation company (GenCo) in Nigeria, is the first GenCo to be listed on the NGX Main Board, a listing segment for well-established companies with demonstrable records of accomplishments.