Caverton Offshore Support Group Plc, Nigeria’s leading indigenous aviation and marine logistics provider, has slipped into a steep financial downturn, posting a net loss of N8.688bn in the first half of 2026. This marks a dramatic reversal from the N2.041bn profit recorded in the same period last year.
The unaudited financials filed with the Nigerian Exchange Limited highlight the weight of escalating operational overheads and debt-servicing obligations, which continue to erode profitability despite efforts to diversify revenue streams through marine services and aviation training.
CEO: “We Are Building a Wholly Nigerian Global Group”
Founded in 1999, Caverton has long positioned itself as a pioneer in local content support for Sub-Saharan Africa’s energy sector, providing helicopter, vessel, and training services to oil and gas majors in the Gulf of Guinea.
Group Chief Executive Officer, Olabode Makanjuola, struck an optimistic tone despite the losses:
“With our various strategic partnerships in helicopter and international tanker operations, sustainable ferry transportation, innovative boat building, and growing UAV operations, we are no longer simply weathering the cycle; we are building a wholly Nigerian global group. We will continue to stabilise the aviation business whilst scaling our highest-growth marine investment platforms and rewarding the confidence of our shareholders with disciplined, profitable execution.”
Finance Costs and Administrative Expenses Surge
The company’s financial strain is evident in its net finance costs of N8.373bn, which remain a major drag on operating cash flow. Administrative expenses jumped 66.8 per cent year-on-year, rising to N7.898bn from N4.736bn in H1 2025. Depreciation on property, plant, and equipment alone reached N5.367bn, underscoring the capital-intensive nature of the business.
Group Financial Controller, Adeoye Adeyeye, emphasised the progress in liquidity management:
“Turning our operating cash flows positive and executing a massive equity recovery has completely changed the conversation with our creditors and partners. Our liquidity position is steadily improving, and our capital structure is drastically healthier than it was 12 months ago, building a solid springboard for 2026.”
Revenue Contraction Across Divisions
Group revenue fell 10.9 per cent year-on-year to N14.681bn, compared with N16.474bn in H1 2025.
- Helicopter contracts remained the largest contributor at N4.359bn.
- Helicopter maintenance surged 97.9 per cent to N4.200bn.
- Vessel agency services delivered N3.200bn.
- The Caverton Aviation Training Centre generated N1.761bn from simulator and flight training operations.
Borrowings Expand, Equity Turns Negative
Total interest-bearing borrowings rose 17.1 per cent to N77.067bn, with short-term loans due within a year accounting for N41.616bn. Cash and bank balances fell sharply by 50.3 per cent to N1.677bn, pushing shareholders’ equity deeper into negative territory at -N15.502bn.
Basic earnings per share dropped to -N2.59, compared with +N0.61 in the prior year’s first half, reflecting the severity of accumulated losses.
Caverton’s H1 2026 performance paints a stark picture of the macroeconomic pressures facing Nigeria’s oilfield services and aviation sectors — from elevated borrowing costs to foreign-exchange volatility. Yet, management insists that strategic partnerships and marine investments will provide the foundation for recovery.