Ellah Lakes Plc, a Nigerian agribusiness company, reported a significant operating loss of N1.87 billion for the seventeen-month period ended December 31, 2025, as surging administrative and personnel costs severely outpaced a notable improvement in revenue.
While the company’s revenue grew substantially to N146.66 million from N19.75 million in the prior comparable period, this progress was completely overwhelmed by a more than doubling of administrative expenses to N1.20 billion and elevated personnel costs of N1.19 billion.
Okay News reports that the period’s results, which included the full 2025 calendar year, show the company’s struggle to achieve profitability despite increased operational activity.
A significant boost came from other income, which surged to N268.50 million largely due to foreign exchange gains, but this was insufficient to offset the core operational cost overrun. The loss per share showed a slight improvement, moving to -60 kobo from -71 kobo, yet accumulated losses grew to N6.26 billion, reflecting persistent financial challenges.
The company’s cash position weakened considerably, with cash and cash equivalents declining sharply to N2.93 billion from N5.90 billion in July 2025, indicating sustained cash burn from operations. Total assets also contracted slightly to N30.29 billion, while the equity position decreased to N22.01 billion, underscoring the impact of continued deficits on the balance sheet.
For the standalone fourth quarter of 2025, the trend continued with a quarterly operating loss of N432.06 million, even as quarterly revenue rose to N79.25 million. The results highlight the structural cost management hurdles facing Ellah Lakes as it seeks to translate its investments in large-scale farming and infrastructure into a sustainable and profitable business model within Nigeria’s agricultural sector.
