Presco Plc, a leading agro-industrial company in Nigeria, has announced a pre-tax profit of N122.2 billion for the first half of 2026, marking a significant increase from the same period last year. The results were disclosed in the company’s unaudited financial statements filed with the Nigerian Exchange Limited.
Revenue Growth and Operational Performance
The company attributed the strong performance to higher revenue from its palm oil and palm kernel operations. Revenue for the period rose to N298.5 billion, up from N205.3 billion in H1 2025, representing a 45.4% increase. Management cited improved yields, expanded plantation area, and better processing efficiency as key drivers.
Cost of sales grew at a slower pace of 32%, reaching N142.1 billion, which helped expand gross profit margins. Gross profit stood at N156.4 billion, compared to N98.2 billion in the prior year.
Key Financial Highlights
- Pre-tax profit: N122.2 billion (vs N74.5 billion in H1 2025)
- Revenue: N298.5 billion (vs N205.3 billion)
- Earnings per share: N12.25 (vs N7.46)
- Total assets: N1.02 trillion (vs N850.6 billion as at December 2025)
Finance costs declined slightly to N18.3 billion from N19.1 billion, reflecting lower borrowing and better debt management. Income tax expense rose to N36.7 billion, resulting in a net profit of N85.5 billion.
Industry Context and Outlook
The strong performance comes amid rising global demand for vegetable oils and government support for local palm oil production. Presco operates over 35,000 hectares of oil palm plantations in Edo State. The company’s management expressed confidence in sustaining growth through further mechanization and expansion into downstream products.
“Our focus on operational excellence and cost control has yielded outstanding results,” said the company’s Managing Director, according to the report. “We remain committed to delivering value to shareholders while contributing to Nigeria’s agricultural self-sufficiency.”
The results have been well received by investors, with the company’s shares gaining 8% following the announcement. Analysts expect Presco to maintain its trajectory, given the favorable commodity price outlook and ongoing capacity expansion.
