TotalEnergies Marketing Nigeria Plc recorded a net profit after tax of ₦1.17 billion for the first quarter ended March 31, 2026, marking a significant turnaround from the ₦120.03 million loss posted in the same period of 2025, despite a decline in revenue. The company’s performance reflects improved cost management and operational efficiency amid challenging market conditions in Nigeria’s downstream oil and gas sector. Revenue for the quarter dropped to ₦197.18 billion from ₦221.62 billion in Q1 2025, driven by lower sales volumes and pricing pressures across key product lines.
Despite the revenue decline, TotalEnergies achieved a 9.97 percent increase in gross profit, rising to ₦26.95 billion from ₦24.51 billion, as the cost of sales fell sharply to ₦170.23 billion from ₦197.11 billion. This improvement highlights the company’s focus on cost discipline and inventory optimization. The gross margin expansion underscores strategic efforts to enhance operational efficiency even as market volatility persisted.
Operating profit, however, dipped to ₦6.19 billion from ₦6.96 billion in the prior year, mainly due to higher administrative and distribution costs, which rose to ₦20.45 billion from ₦17.71 billion. Other operating expenses also contributed to margin pressure. Nevertheless, finance costs improved significantly, narrowing to ₦4.28 billion from ₦5.84 billion, driven by lower interest expenses and a more favorable financing structure.
This reduction in finance costs helped boost profit before tax to ₦1.91 billion, up from ₦1.12 billion in Q1 2025. After accounting for income tax expense of ₦742.57 million, the company reported a net profit of ₦1.17 billion, translating to earnings per share of ₦3.45, compared to a loss per share of ₦0.35 in the previous year.
On the balance sheet, total assets decreased to ₦356.01 billion from ₦388.55 billion as of December 31, 2025, primarily due to a substantial reduction in inventories, which fell to ₦97.69 billion from ₦133.46 billion. Trade and other receivables also declined to ₦125.60 billion from ₦129.58 billion, while cash and cash equivalents rose to ₦48.55 billion from ₦44.78 billion, indicating improved liquidity.
Non-current assets increased slightly to ₦78.24 billion, supported by growth in right-of-use assets, which rose to ₦12.85 billion from ₦9.77 billion. Total equity grew modestly to ₦48.71 billion from ₦47.54 billion, driven by retained earnings. On the liabilities side, total liabilities declined to ₦307.30 billion from ₦341.01 billion, largely due to reduced trade payables, which fell to ₦185.54 billion from ₦236.53 billion.
However, loans and borrowings increased to ₦100.01 billion from ₦84.67 billion, reflecting a shift in funding strategy. Lease liabilities also rose, indicating higher operational lease commitments. The financial statements were approved by the Board of Directors on April 27, 2026, and signed by Managing Director Wilfried Konde and Executive Director Olubunmi Popoola-Mordi.
The Q1 2026 results signal a positive shift in TotalEnergies Marketing Nigeria’s financial trajectory, with stronger cost control and balance sheet efficiency. As the company navigates ongoing challenges in the Nigerian energy market, its focus on operational resilience and financial discipline positions it for sustained growth in the coming quarters.
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