TotalEnergies Marketing Nigeria Plc has reported a pre-tax loss of N12.5 billion for the 2025 financial year, marking its first loss in six years. This is a sharp reversal from the N42.26 billion pre-tax profit recorded in 2024. Post-tax figures also reflect the downturn, with a N17.18 billion loss compared to a post-tax profit of N27.50 billion the previous year.
The decline in profitability stems largely from a 26% drop in revenue, which fell to N767.63 billion in 2025 from N1.04 trillion in 2024. The company’s cost of sales remained high at N685.56 billion, leading to a gross profit of N82.07 billion, down 29% from the prior year.
Operating expenses further squeezed earnings. Administrative costs rose by 41.9%, while selling expenses surged 70.9%, contributing to an 85% drop in operating profit, which totaled just N9.49 billion. Finance costs also increased by 12% to N21.99 billion, adding pressure to the company’s bottom line.
On the balance sheet, TotalEnergies’ total assets declined 8% to N434.35 billion, while retained earnings fell 21% to N44.05 billion. Shareholder equity dropped 41%, highlighting the impact of the loss on the company’s financial health.
Despite these setbacks, the company maintains a strong asset base. Analysts suggest that a recovery will depend on improving revenue generation and controlling costs more effectively.
TotalEnergies’ 2025 loss follows a warning in its 2024 Q4 forecast, which projected a modest post-tax loss of N2.2 billion. However, the company ended Q4 2024 with a larger-than-expected N3.1 billion loss, signaling deeper operational challenges.
The downturn may also affect TotalEnergies’ dividend track record. The company had consistently increased dividends over the past five years, from N6 per share in 2020 to N40 in 2024, representing a compound annual growth rate of over 60%. With losses now reported, future dividends could be impacted.
TotalEnergies’ share price fell 8.31% in 2024, closing at N640, and has remained largely flat in 2025. Despite this, the company still has a market capitalization of N217 billion, significantly higher than its net assets of N44 billion, suggesting market valuation remains strong relative to its actual financial performance.
