The company recently announced its financial results for the year ending December 31, 2024, revealing a pre-tax profit of N3.1 billion, a notable turnaround from the N4.2 billion loss reported the previous year.
Eterna's annual revenue also saw a substantial rise of 33%, climbing from N60 billion to N79.9 billion, with fuel sales contributing 86.8% of total revenue, while lubricant sales made up 13.2%.
Starting February at N26.40, the company's shares have surged by more than 60% in the first two weeks, supported by a monthly trading volume of 35.5 million shares.
This surge follows a series of favorable developments, including the opening of Nigeria's largest aviation fuel depot, the Joint User Hydrant Installation 2 (JUHI-2), at Murtala Muhammed International Airport in October 2024, and the release of strong FY 2024 results in late January 2025.
Eterna Plc has demonstrated a robust performance in the Nigerian stock market, achieving a 75.45% increase in 2024.
Most of this growth occurred in the third quarter, with the stock price rising from an opening value of N13.85 in January to N30 by September.
This positive trend has continued into 2025, with January closing on a high note and a trading volume of 19.8 million shares.
In the first week of February 2025, Eterna's stock saw a significant jump, exceeding N35 and closing at N36.65.
By the second trading day of the second week in February, the stock experienced a remarkable increase of over 19%, surpassing the N40 mark and elevating its month-to-date performance to an impressive over 60%.
Potential catalysts for the bullish trend
In mid-October 2024, Eterna PLC unveiled Nigeria’s largest aviation fuel depot, the Joint User Hydrant Installation 2 (JUHI-2), located at Murtala Muhammed International Airport in Lagos.
This facility spans 46,000 square meters, with a storage capacity of 15 million liters of fuel and a monthly delivery capability of 150 million liters, accounting for approximately 20% of the country’s annual aviation fuel requirements.
In its most recent full-year financial results, Eterna demonstrated a robust recovery, transitioning from a pre-tax loss of N4.2 billion in 2023 to a pre-tax profit of N2.3 billion for 2024.
Revenue surged by 33%, increasing from N60 billion to N79.9 billion, with fuel sales comprising 86.8% and lubricants 13.2% of total revenue. Core operational profits reached N6.6 billion, reflecting a 229% increase from the previous year’s N2 billion, supported by a decrease in foreign exchange losses, which fell from N5.6 billion to N2.4 billion.
Although the precise factors driving stock prices in February remain somewhat ambiguous, the recent fundamental developments, particularly the FY 2024 earnings report, likely contributed to enhancing investor confidence.
The board of Eterna PLC has recently appointed Mr. Olumide Adeosun as the Managing Director/Chief Executive Officer, effective February 3, 2025.
In a disclosure to the NGX on January 16, signed by Secretary David Edet, the group announced that Mr. Adeosun will take over from Mr. Abiola Lawal, who resigned effective January 31, 2025.
The report noted that the board expressed deep gratitude to Mr. Lawal for his valuable contributions and conveyed optimism regarding Mr. Adeosun’s appointment and the extensive experience he will bring to Eterna PLC.