TotalEnergies Marketing Nigeria Plc is projecting a profit after tax of ₦543 million for the third quarter ending September 30, 2025, even though steep finance costs are expected to weigh heavily on its overall earnings.

For the three-month period, the company is forecasting total revenue of ₦177.1 billion, with cost of sales projected at ₦150.6 billion. This would result in a gross profit of ₦26.5 billion.

After deducting operating expenses, including ₦3.6 billion in selling and distribution costs and ₦17.1 billion in administrative expenses, TotalEnergies expects to record an operating profit of ₦7.7 billion.

However, finance-related expenses are set to take a toll. The company anticipates interest charges of ₦7.2 billion, while finance income is expected at just ₦933 million leading to a net finance cost of ₦6.3 billion.

This brings the pre-tax profit projection to ₦1.4 billion, with income tax estimated at ₦886 million, ultimately resulting in the after-tax profit forecast of ₦543 million.

On the cash flow side, the company expects to generate ₦19.1 billion from operating activities. This is based on customer receipts amounting to ₦159.4 billion and outflows of ₦135.5 billion for supplier and employee payments.

TotalEnergies also expects investing activities to result in a ₦1.6 billion net cash outflow, mainly due to asset acquisitions and limited proceeds from asset sales.

Meanwhile, financing activities are projected to lead to a net outflow of ₦27.1 billion. Key drivers include ₦7.2 billion in interest on overdrafts, ₦17.3 billion in loan repayments, and ₦2.6 billion in dividend disbursements.

Overall, the company is forecasting a ₦9.7 billion net drop in cash and cash equivalents during the quarter, which would bring its projected cash balance to negative ₦155.5 billion by the end of September 2025.

The forecast was officially signed off by Seye Samba, Executive Director at TotalEnergies Marketing Nigeria Plc.