Skip to content

Afrikan News

Real News. Real Africa

  • Home
  • News
  • Business & Finance
  • Lifestyle & Health
  • Press Release

Dangote Refinery Swings to $1.82 Billion H1 Profit as Debt Falls to $5.67 Billion

Posted on 2026-09-09
Dangote Refinery Swings to .82 Billion H1 Profit as Debt Falls to .67 Billion

Dangote Petroleum Refinery and Petrochemicals FZE reported a $1.82 billion profit after tax for the six months ended June 30, 2026, reversing a loss a year earlier as the company prepared to launch a major initial public offering.

The first-half result was disclosed in the refinery’s IPO prospectus, according to independent reports by Reuters and Bloomberg. Bloomberg said the company had posted a $282.1 million loss in the corresponding six months of 2025, putting the year-on-year improvement in earnings at more than $2.1 billion.

Revenue for the latest six-month period was approximately $13.9 billion, according to contemporaneous reports. Published accounts differ on the precise naira equivalent, so the prospectus figure in local currency could not be independently confirmed.

The refinery also reduced its borrowings during the period. Total debt stood at $5.67 billion on June 30, down from $6.24 billion at the end of December 2025. That represents an exact decline of $570 million, or about 9.1%, over six months.

Bloomberg reported that the June balance consisted entirely of secured debt. The reduction strengthens the company’s balance sheet as it approaches the equity market, although the refinery will continue to carry several billion dollars of borrowings after the planned listing.

IPO scheduled for September

The offering comprises 4.1 billion ordinary shares priced at ₦525 each, according to reports by Bloomberg and Punch Newspapers. At that price, the sale is intended to raise approximately ₦2.15 trillion, in line with the fundraising target reported by Reuters.

Punch reported that Nigeria’s Securities and Exchange Commission had approved the IPO. Reuters said the subscription period was scheduled to open on September 14, 2026, and close on October 13, 2026.

The proposed transaction brings together stronger earnings, reduced debt and a refinery operating at its stated full capacity. Chief Executive Officer David Bird told Reuters: “We’re at full capacity, 700,000 barrels per day, we are enjoying those upswings, and yes it has fundamentally changed the funding premise of this Vision 2030.”

Bird’s comments link the improved operating performance with the company’s longer-term financing plans. The prospectus figures indicate that the refinery entered the IPO process from a markedly different financial position than a year earlier, when it was reporting a first-half loss.

The profit recovery is the most prominent change. Moving from a $282.1 million loss to $1.82 billion in profit after tax provides prospective investors with evidence of positive earnings during the period immediately preceding the offer. The lower debt balance also reduces the amount owed to lenders, even though all reported borrowings remained secured at the end of June.

Offer size aligns with reported fundraising target

The share terms imply gross proceeds of about ₦2.1525 trillion if all 4.1 billion shares are sold at the stated price, closely matching the approximately ₦2.15 trillion target reported by Reuters. The verified reports did not provide a breakdown of offering expenses or expected net proceeds.

The prospectus is central to the offering because it provides potential buyers with the refinery’s financial record, debt position and share terms. The first-half accounts cover the period through June 30, while the comparative debt figure is measured against the end of 2025.

Investors assessing the transaction will therefore be weighing a sharp earnings turnaround against the refinery’s remaining $5.67 billion secured debt load. They will also be considering management’s statement that the facility has reached its full 700,000-barrel-per-day capacity.

The planned September-to-October subscription window gives the company one month to market the 4.1 billion shares. Completion of the offer will depend on investor demand under the approved terms.

Sources

  • Reuters, republished by MarketScreener
  • Bloomberg, republished by Moneyweb
  • Punch Newspapers
Share this article:
  • Share this on X
  • Share this on Facebook
  • Share this on Pinterest
  • Share this on Reddit
  • Share this on WhatsApp
  • Share this on Linkedin
Posted in Business & Finance Tagged Business Finance, Corporate Earnings, Dangote Refinery, Debt, IPO, Nigeria, Oil and Gas

Post navigation

Kenya Reports 1,298 Confirmed Mpox Cases and 19 Deaths Across 40 Counties →
← Mass Funeral Held in Bukavu for 26 Children Killed in School Fire and Stampede

Tabbed Widget

  • Popular
  • Recent
African Leaders Malaria Alliance Warns 30% Funding Cut Could Cause 146 Million Additional Cases by 2030
African Leaders Malaria Alliance Warns 30% Funding Cut Could Cause 146 Million Additional Cases by 2030
2026-09-27
©FAO/Glen Amungwa
Cameroon Communities turn to farming and beekeeping to adapt to climate change
2026-01-13
Kenya Reports 1,298 Confirmed Mpox Cases and 19 Deaths Across 40 Counties
Kenya Reports 1,298 Confirmed Mpox Cases and 19 Deaths Across 40 Counties
2026-09-07
DR Congo Army Announces Counteroffensive After FRN Seizes South Kivu Localities
2026-11-10
Africa CDC Calls for ‘Corridor of Peace’ After North Kivu Attack Disrupts Ebola Response
2026-11-08
TFG Half-Year Operating Profit Falls 6.5% as UK and Australia Offset African Growth
2026-11-06

Afrkan News


Real News, Real Africa

Services

  • Privacy Policy
  • Terms of Use
Copyright © 2026 Afrikan News