Okomu Oil Records ₦172.6bn Revenue from Palm Products in 2025

News in Brief:

—Okomu Oil reported ₦172.6 billion in palm product revenue in 2025, alongside significant increases in gross profit, net profit, and shareholder dividends.

—The company marked its 50th anniversary by highlighting plantation expansion, export growth, sustainability efforts, and community development investments.

Okomu Oil Palm Company Plc has reported revenue of ₦172.6 billion from its palm products business in 2025, representing a 60.5 per cent increase compared to the previous year, as the company continued to strengthen its position within Nigeria’s agro-industrial sector.

The company disclosed the performance during its 46th Annual General Meeting (AGM) and 50th anniversary celebration held in Abuja.

Profitability Rises Amid Revenue Growth

Chairman of Okomu Oil Palm Company, Gbenga Oyebode, said the company recorded strong growth across key financial indicators during the year under review.

According to him, the cost of sales stood at ₦112.339 billion, while gross profit increased by 93 per cent to ₦123.346 billion. Profit from continuing operations also rose significantly to ₦88.798 billion, representing a 103 per cent increase compared to 2024.

“We surpassed our previous year's performance, achieving significant growth in both revenue and profitability,” Oyebode said.

He attributed the results to effective strategy execution, operational discipline, and the commitment of the company's board, management, and workforce.

Rubber Segment Contributes to Overall Performance

Beyond its palm oil operations, Okomu Oil also recorded growth in its rubber business despite challenging macroeconomic conditions and lower production volumes.

Oyebode stated that the rubber segment contributed to a total turnover of ₦198.2 billion, representing a 52 per cent year-on-year increase.

He added that the consolidated cost of sales increased by 27.6 per cent, while consolidated gross profit rose by 79.5 per cent from ₦78.5 billion in 2024 to ₦141 billion in 2025.

The company’s net profit from continuing operations climbed to ₦57.9 billion, up from ₦39.9 billion recorded in the previous year.

Shareholders to Receive ₦55 Dividend

The board also announced increased returns to shareholders through dividend payments.

According to Oyebode, the company paid an interim dividend of ₦40 per share during the financial year and has proposed a final dividend of ₦15 per share, bringing the total dividend payout for 2025 to ₦55 per share.

He noted that the company's stable operational environment contributed significantly to its performance.

Security Stability Supports Operations

Oyebode revealed that Okomu Oil maintained a secure operating environment across its plantations and processing facilities throughout the year.

He explained that activities within the company’s palm and rubber divisions, residential areas, processing facilities, and administrative units were carried out without any major security disruptions. This stability, he noted, enabled uninterrupted production and supported the company’s growth objectives.

It is an important clarification as the country continues to face rising insecurity, especially in areas close to forest reserves, as many reports show.

Company Celebrates 50 Years of Operations

The meeting also marked Okomu Oil’s golden jubilee, celebrating 50 years since its establishment in 1976 as a Federal Government initiative to revitalise Nigeria’s oil palm industry.

Oyebode said the company originally operated a plantation covering 15,580 hectares within the Okomu Forest Reserve before undergoing privatisation in 1990 and subsequently listing on the Nigerian Stock Exchange.

He described the privatisation process as a turning point that transformed Okomu into a commercially driven, shareholder-focused enterprise guided by strong corporate governance principles.

Expansion and Sustainability Remain Priorities

Highlighting the company's long-term growth, Oyebode said Okomu Oil has expanded its cultivated plantation area from about 15,000 hectares to more than 34,000 hectares over the past five decades.

He added that the company now exports products to international markets and continues to invest in sustainability and community development programmes across its host communities.

According to him, Okomu currently partners with 29 host communities through infrastructure projects and social investment initiatives aimed at improving livelihoods and fostering long-term development.

Managing Director Graham Hefer reaffirmed the company’s commitment to further expansion of its oil palm plantations, increased production capacity, and job creation opportunities, particularly for young Nigerians.

He said Okomu Oil remains focused on strengthening its role as a globally competitive agro-industrial company while contributing to Nigeria’s agricultural and economic development.