Dangote Refinery posts $4.7 billion profit ahead of extended IPO deadline

Dangote Petroleum Refinery is making headlines with a remarkable turnaround, reporting a net profit of $4.73 billion for the first nine months of 2026. This impressive figure marks a dramatic recovery from the $117.2 million loss seen during the same period last year, fueled by a surge in revenue that has more than doubled ahead of the company’s eagerly anticipated initial public offering (IPO).

The refinery’s unaudited financial results, released Today, October 13, highlight a significant growth trajectory, showcasing its financial resilience and strategic positioning in the market. As it prepares to raise an ambitious $1.6 billion through an IPO that could potentially be the largest in Africa’s history, the anticipation continues to build.

Originally slated to close on October 13, the IPO has now been extended to October 27, offering even more investors the chance to be part of this exciting opportunity. With the momentum generated by these impressive results, the refinery is poised for a bright future, and investors are eager to join in on the journey.

Revenue more than doubles

Dangote refinery’s revenue rose to $22.48 billion from $9.19 billion a year earlier, while earnings before interest, taxes, depreciation and amortisation (EBITDA) increased to $5.52 billion from $627.6 million.

The growth reflects higher crude processing rates, improved operations and stronger refining margins, which represent the difference between the value of refined products and the cost of crude oil. The refinery has also benefited from increased demand for its products amid supply disruptions linked to the Iran war. These disruptions have helped it expand jet fuel sales to Western Europe.

CEO of Dangote Refinery, David Bird

Operating cash flow climbed to $3.68 billion from $364.7 million in the same period last year. The company ended September with $6.69 billion in cash holdings, having moved from a net debt position of $1.73 billion a year earlier to net cash of $650.8 million.

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

Profit comes as the Dangote IPO deadline approaches

The financial results provide investors with an updated picture of the refinery’s performance as it offers shares to the public. The IPO comprises 4.1 billion ordinary shares priced at ₦525 each, with a minimum subscription of 10 shares costing ₦5,250. If fully subscribed, the offer is expected to raise approximately ₦2.15 trillion, or $1.6 billion.

Built at a cost of about $20 billion near Lagos, the refinery began operations in 2024 and has become a major supplier of refined petroleum products to Nigeria and regional markets. It currently has a processing capacity of 700,000 barrels per day and plans to double that to 1.4 million barrels per day by 2029.

While the latest results show a significant improvement in profitability, they do not guarantee future earnings or returns for investors buying shares in the IPO.

Also read: Uganda approves Dangote Refinery IPO, opening $1.6bn offer to local investors