Dangote Refinery Posts $4.7bn Profit As Revenue Hits $22.5bn

Revenue jumps 144 per cent as cash reserves rise to $6.7bn, while refinery records a $651m net cash position

Dangote Petroleum Refinery and Petrochemicals has reported a net profit of $4.73 billion on revenue of $22.5 billion for the nine months ended September 30, 2026, reversing a loss of $117.2 million recorded in the corresponding period of 2025.

The company’s unaudited financial results, released in Lagos on Tuesday, showed that revenue increased by 144 per cent from $9.2 billion in the first nine months of last year, while earnings before interest, taxes, depreciation and amortisation (EBITDA) climbed to $5.52 billion from $627.6 million.

The performance was attributed to higher refining throughput, improved operational reliability and stronger refining margins as the 700,000-barrel-per-day facility consolidates its commercial operations.

The refinery’s EBITDA margin also expanded to 24.56 per cent from 6.83 per cent in the corresponding period of 2025, reflecting improved operating performance.

Operating cash flow rose more than tenfold to $3.68 billion from $364.7 million, highlighting the company’s increased capacity to generate cash from its operations.

Its cash reserves also surged to $6.69 billion as of September 2026, compared with $809.5 million a year earlier.

The results further showed a significant improvement in the company’s financial position, with its balance sheet moving from a net debt position of $1.73 billion in September 2025 to net cash of $650.8 million by September 2026.

The shift indicates that the company’s cash holdings now exceed its debt obligations on a net basis, providing greater financial flexibility to support expansion plans.

Third-Quarter Performance Accelerates

The financial results also indicated a strong performance in the third quarter of 2026.

Revenue rose from $13.91 billion at the end of June to $22.48 billion by the end of September, implying revenue of approximately $8.57 billion during the third quarter.

EBITDA increased from $2.60 billion at the half-year mark to $5.52 billion at the end of September, suggesting that the company generated approximately $2.92 billion in EBITDA during the three months.

Net profit similarly increased from $1.82 billion at the end of June to $4.73 billion by September, representing an additional $2.90 billion in profit during the third quarter.

Managing Director and Chief Executive Officer of Dangote Petroleum Refinery and Petrochemicals, David Bird, attributed the performance to increased throughput, improved operational stability and stronger refining margins.

Bird said the results demonstrated the refinery’s transition from commissioning and production ramp-up to sustained commercial operations.

“Our third-quarter performance demonstrates the successful transition from commissioning and ramp-up activities to sustainable commercial operations,” he said.

He added that the increase in revenue and EBITDA reflected higher throughput, improved operational reliability and stronger gross refining margins.

According to Bird, the results validated the company’s integrated business model and provided a solid foundation for its next phase of growth.

He said the refinery would continue to expand its capacity, broaden its product portfolio and strengthen its distribution network across African markets under its Vision 2030 strategy.

The company also plans to support energy security across the continent while creating long-term value for stakeholders.

IPO Targets Wider African Ownership

The strong financial performance comes as Dangote Petroleum Refinery advances plans to broaden African participation in its ownership through an initial public offering (IPO).

The Securities and Exchange Commission recently approved an extension of the offer’s closing date from October 13 to October 27, 2026, to accommodate growing investor interest and facilitate wider participation across African markets.

The offering comprises 4.1 billion ordinary shares priced at ₦525 each, representing a total value of approximately ₦2.15 trillion.

President and Chief Executive of Dangote Industries Limited, Aliko Dangote, had disclosed that subscriptions had exceeded the company’s initial fundraising target.

He said the primary objective of the offer was to enable more Africans to become shareholders in the industrial project rather than simply raise additional capital.

The latest results provide investors with an indication of the refinery’s earnings capacity, cash generation and financial position as it seeks to attract a broader shareholder base.

The offering is also linked to the company’s wider Vision 2030 expansion programme, which includes increasing refining capacity, expanding petrochemical production and strengthening distribution networks across Africa.

Located in the Lekki Free Zone in Lagos, Dangote Petroleum Refinery and Petrochemicals operates an integrated refining and petrochemical complex with a crude distillation capacity of 700,000 barrels per day.

The facility represents a major investment in Africa’s energy and industrial infrastructure, with the company seeking to expand its role in meeting the continent’s demand for refined petroleum products and petrochemicals.