Geregu Power Plc, backed by Nigerian billionaire Femi Otedola, announced financial estimates for the third quarter of 2024. According to the company’s most recent results forecast, revenue will be approximately N42.51 billion ($28.2 million).
This revenue prediction is a significant 101.9% rise over the N21.05-billion ($14 million) earned in the third quarter of 2023. This is 11.3 percent greater than the N38.17 billion ($23.94 million) objective for the second quarter of 2024.
Geregu Power’s strong prognosis is backed by plans to increase total capacity from 435MW to 1,200MW. This development builds on a recent agreement with Siemens Energy and the acquisition of one of five power plants sold by Nigeria’s Ministry of Power.
In the third quarter of 2024, the company expects direct costs to rise to N21.89 billion ($14.55 million), up from N10.3 billion ($6.84 million) the previous year. Despite the increasing costs, Geregu Power expects a gross profit of N15.75 billion ($10.47 million) for the quarter.
Geregu Power expects to make a profit after tax of N9.87 billion ($6.56 million) during this period, which is 140 percent greater than the N3.97 billion ($2.64 million) profit reported in the same quarter of 2023. This demonstrates the company’s commitment to continued growth in Nigeria’s dynamic electricity sector.
Geregu Power, established in 2006, began producing energy to Nigeria’s national grid in 2007. The company’s 435-megawatt (MW) power plant makes a major contribution to the nation’s energy demands.
A consortium led by Femi Otedola’s Amperion Power Distribution Company Limited acquired Geregu Power in 2013, along with Calvados Global Services Limited and State Grid Shanghai Municipal Electric Power Company, the world’s largest utility.
Under Otedola’s leadership, Amperion spent $94 million on a 2014 plant upgrade, increasing capacity from 414MW to 435MW and reaching full utilization. Otedola’s group gradually grew its position in Geregu, eventually acquiring full ownership in 2021. In October 2022, Geregu Power became the first energy generation business to list on the Nigerian exchange.
