By Emmanuella Opara | November 4th 2026
KEY POINTS
- Caverton Offshore Support Group’s revenue increased by 1.4 per cent to N20.74bn in the nine months ended September 2026.
- Marine operations accounted for almost a third of group revenue, helping to offset the loss of a major helicopter contract.
- The company’s loss after tax widened to N13.79bn from N4.63bn a year earlier.
- Caverton is restructuring its aviation business, negotiating debt repayment terms and exploring strategic partnerships.
- Its indigenous electric ferry platform has completed sea trials on Lagos waterways.
MAIN STORY
Caverton Offshore Support Group Plc recorded a 1.4 per cent increase in revenue to N20.74bn in the first nine months of 2026, supported by stronger contributions from its marine operations as the company works to reduce its dependence on aviation services.
The revenue figure, reported for the period ended September 30, compares with N20.45bn recorded in the corresponding period of 2025. The marine business accounted for almost a third of the group’s earnings, helping to cushion the impact of the loss of a major helicopter contract that ended last year.
However, the modest revenue growth did not translate into improved profitability. Caverton’s loss after tax increased to N13.79bn from N4.63bn in the same period last year.
The company attributed much of the higher loss to N5.9bn in non-cash depreciation charges following the revaluation of its assets in the previous year. It also reported that the absence of a one-off gain of N5.3bn recognised in the 2025 results contributed to the weaker performance.
Despite the increased loss, net finance costs declined by 16 per cent, representing a year-on-year reduction of N2.19bn. The company also recorded a net foreign exchange gain.
The results, approved by the board on October 28, come as Caverton expands its marine operations and pursues changes to its aviation business, alongside discussions with creditors to restructure its debt.
A major part of the marine expansion is the company’s OMIBUS electric ferry platform, which has completed sea trials on Lagos waterways.
During a full-load trial, the ferry transported passengers across 12.6 nautical miles between Falomo and the Ikorodu ferry terminal. Caverton said it planned to begin commercial passenger services on shorter, high-demand routes connecting CMS, Falomo, Victoria Island and Lekki.
Longer routes, including Ikorodu, are expected to be introduced as charging infrastructure and battery performance are further established.
The company is also constructing 10 electric ferries for the Lagos State Government at its marine facilities, including its Naval Dockyard operation in Victoria Island. The project combines local vessel construction with propulsion technology supplied by ExploMar, its original equipment manufacturing partner based in Shanghai, China.
While the marine division is expanding, Caverton is working to restructure its aviation operations into a leaner business that requires less capital. Its plans include using its maintenance, repair and overhaul facilities and training infrastructure more effectively, while seeking partnerships to restore and expand flight operations.
The company is also developing its unmanned aerial vehicle business with partners, including the National Agency for Science and Engineering Infrastructure.
Caverton’s financial obligations remain a major concern, with interest-bearing borrowings standing at N81.55bn as of September 30, 2026. Management said discussions were ongoing to restructure the debt and establish more sustainable repayment arrangements.
The group is also considering a possible equity investment in its aviation business by prospective strategic partners.
THE ISSUES
Caverton’s latest results show the growing contribution of its marine operations, but the increase in revenue remains modest compared with the scale of its financial losses.
The marine business is becoming an important source of income as the company adjusts to the loss of a major helicopter contract. Its electric ferry project also gives it a foothold in the development of local water transport infrastructure, although commercial expansion will depend partly on charging facilities and the performance of its vessels.
The aviation business, meanwhile, faces the challenge of restoring operations while reducing the capital required to sustain them. The company’s N81.55bn interest-bearing debt also places pressure on its financial position, making debt restructuring and potential equity investment important to its recovery plans.
WHAT’S BEING SAID
“Caverton is in transition. A year ago, our marine business barely registered in our accounts. Today, it delivers almost a third of Group revenue, earns foreign currency through a leading international Suezmax pool and is building indigenous electric ferries for Lagos,” Olabode Makanjuola, Group Chief Executive Officer of Caverton Offshore Support Group, said.
“In aviation, we are restructuring for a leaner, more capital-efficient business, putting our MRO and training infrastructure to work and pursuing strategic partnerships to restore and expand flight operations, while our UAV business, working with partners including NASENI, is opening new markets in drone operations and technical training,” Makanjuola said.
“We are tackling our financing pressures head-on, and as these businesses grow, we are building a more diversified and resilient Caverton, positioned to deliver long-term value for our shareholders,” he said.
WHAT’S NEXT
Caverton’s immediate priorities include advancing commercial operations on its electric ferry routes, completing the 10 vessels being built for Lagos State and expanding its marine business.
The company is also expected to continue discussions on debt restructuring and possible equity investment in its aviation division as it works to restore flight operations and improve the use of its existing infrastructure.
BOTTOM LINE
Caverton’s marine business is helping to sustain revenue growth following the loss of a major helicopter contract, but its widening losses and N81.55bn borrowings show that the company’s transition is taking place amid significant financial pressure.
