Seplat Energy (SEPL) Q2 2026 earnings summary

Executive summary

• Revenue rose 30% year-over-year to $1.82 billion, driven by higher oil prices and increased production across oil, gas, and NGLs.

• Net income surged 498% year-over-year to $164 million, with EPS up to $0.27.

• Free cash flow reached $526 million, supporting debt reduction and record dividends.

• Production averaged just under 140,000 boepd, up 4% year-over-year, with strong onshore growth and stable offshore output.

• Leadership transition: new CEO Effiong Okon takes over August 1, with a new Chairman in January, supporting the 2030 growth plan.

Financial highlights

• Adjusted EBITDA increased 28% year-over-year to $939 million, with a 52% margin.

• Net debt reduced by 55% year-to-date to $370.7 million, with net leverage at 0.25x.

• Free cash flow for H1 was $526 million, nearly matching all of 2025.

• Earnings per share rose to nearly $0.27, more than five times the prior period.

• Cash at bank at period-end was $433.8 million, up from $332.3 million at FY2025.

Outlook and guidance

• 2026 production guidance maintained at 135-155 kboepd, tracking toward the midpoint.

• CapEx guidance for 2026 set at $360-440 million, with higher spend expected in H2.

• Unit operating cost guidance revised to $14.5-15.5/boe due to Yoho repair costs.

• Dividend guidance for 2026 is $0.45/share ($270 million), with potential for $0.68/share ($410 million) including special dividends post-asset sale.

• 2030 production target adjusted to 170 kboepd net WI post-transaction.