KEY POINTS
- NNPC revenue dropped by 47% to N2.57 trillion in January 2026, down from N4.82 trillion in December 2025.
- Profit after tax increased by 9.6% to N385 billion, despite operational challenges.
- Crude production rose slightly to 1.64m bpd, while gas production reached 7.283 bscf/day, with major pipeline projects nearing completion.
The Nigerian National Petroleum Company Limited, NNPC Ltd, recorded a significant drop in revenue in January 2026, with earnings falling by 47 percent to N2.57 trillion, compared with N4.82 trillion recorded in December 2025.
An analysis of NNPC in January 2026 Monthly Financial and Operations Report shows that the state-owned energy giant experienced a steep contraction in revenue during the period, reflecting operational and logistical challenges that affected planned deliveries.
Despite the sharp decline in revenue, the NNPC posted a modest improvement in its profit after tax, indicating improved operational efficiency and cost management within the month under review.
Profit After Tax Rises by 9.6%
According to the report, NNPC’s profit after tax increased by 9.6 percent, rising to N385 billion in January 2026.
This increase suggests that the company was able to maintain profitability despite the revenue decline, possibly due to improved margins, cost optimization, or adjustments in operational strategies.
Industry observers note that the marginal increase in profitability may also reflect the company’s efforts to streamline its operations following its transition to a fully commercialized national oil company under the Petroleum Industry Act (PIA).
The report also showed a slight improvement in Nigeria’s crude oil and condensate production levels.
Average output stood at 1.64 million barrels per day (mmbpd) during the month, representing a modest increase compared with the previous month.
NNPC attributed the increase in production to the completion of turnaround maintenance at the Agbami field and Renaissance operations in the Estuary Area (EA).
However, the company explained that several factors still limited production and deliveries within the period.
NNPC stated that planned crude deliveries for January were disrupted by adverse weather conditions, evacuation challenges, and asset integrity issues affecting some of its infrastructure.
These constraints prevented the company from fully maximizing the benefits of the slight increase in production recorded during the month.
