HEREL Limited, a subsidiary of VFD Group posted a 702 percent growth in its pre-tax profit in 2024. The company during its 3rd Annual General Meeting (AGM) on 27 June 2025, reported the increase while setting plans for expansion into new markets.
The company, which operates in real estate and hospitality, posted a profit before tax of N3.04 billion, up from N379 million in 2023. The significant growth was driven by a fair value gain of N5.62 billion and improvements in operational efficiency. Gross revenue rose from N6.93 billion to N17.38 billion, while net profit after tax increased to N2.35 billion from N182 million.
Kelvin Orogun, Chairman of the Board, in his remarks described 2024 as a “pivotal year” for the company. He said, “We recorded a Profit Before Tax (PBT) growth of 702% year-on-year to N3.04 billion, primarily driven by a significant fair value gain of N5.62 billion. Our gross revenue grew by 151%, reaching N17.38 billion from N6.93 billion in 2023, demonstrating our continued ability to deliver value across both our real estate and hospitality portfolios.”
Orogun also announced a debt-to-equity conversion through a rights issue, which reduced total liabilities by 36% and increased equity by 48%. He added that total assets rose by 7%, mainly from increased receivables from property sales.
“These achievements are not just financial markers; they reflect the resilience of our strategy, the quality of our leadership, and the confidence of our stakeholders,” he said. “We are entering 2025 with a strong foundation, a clear vision, and a renewed commitment to delivering excellence.”
Chioma Esike, Managing Director, spoke on the company’s operations. She confirmed that the HEREL Mansions project in Ikoyi had sold out, while other developments are ongoing. These include Aqua Point at Mojisola Onikoyi, Prestige at Hampton in Ikate, and Banana Island residences. All feature 5-bedroom homes targeted at the premium property market.
She also shared updates on the firm’s hospitality operations. “HEREL Play, our lifestyle and recreational hub at 14 Ruxton Road, Ikoyi, has quickly become a vibrant destination for families, professionals, and young creatives,” she said.
In Lekki, the Boardroom Apartments now offers 16 apartments in studio, one-bedroom, and two-bedroom options, along with a meeting room, café, rooftop restaurant, spa, and other services.
“With a 48 per cent increase in equity and a 36 per cent reduction in liabilities, we are entering our next growth phase on a strong financial footing,” she added.
According to the company, retained earnings will be reinvested to fund capital-intensive projects and maintain business operations.
HEREL projects over 500% profit growth in 2025, citing pricing strategy, efficient project delivery, and reinvestment plans. The company is also exploring new markets, with early-stage partnerships underway in South Africa, Ghana, and the United Kingdom
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