• Wed. Oct 4th, 2023

    Nestlé Nigeria Unveils H1 2023 Financial Performance

    ByHybrid Communications

    Jul 30, 2023

    Nestlé Nigeria PLC has reported robust financial results for the first half of 2023, with a total revenue of N 261.8 billion.

    This marks an impressive 17.7% increase compared to its performance during the same period in 2022. The company’s gross profit also experienced significant growth, reaching N 107.3 billion, which represents a remarkable 34% increase over the N 80.2 billion earned in the first half of 2022.

    Despite the positive revenue and gross profit figures, the company faced challenges in its net profitability.

    It recorded a loss after tax of – N 49.9 billion, reflecting a substantial 280% decline compared to the same period in 2022.

    For a detailed breakdown of the financial results, interested parties can access the information online at https://www.nestlecwa.com/en/investors/nigeria.

    Here is a summary of the financial results for Jan – Jun 2023 and Jan – Jun 2022: Results: Jan – Jun 2023 Jan – Jun 2022 (N’000) (N’000) Revenue 261,769,509 222,450,780 Cost of Sales (154,434,614) (142,245,152) Gross Profit 107,334,896 80,205,628 Marketing and Distribution expenses (40,310,521) (28,352,914) Administrative expenses (6,231,716) (5,671,216) Results from operating activities 60,792,659 46,181,498 Finance income 7,815,651 4,521,336 Finance costs (137,725,905) (6,962,925)

    Reacting to the results, the Managing Director and CEO of Nestlé Nigeria PLC, Mr. Wassim Elhusseini, said, “I thank every member of our team for the unwavering commitment and dedication which resulted in the significant increase in revenue and gross profit over H1 2022 despite the challenging business environment.

    Our profit after tax was, however, negatively impacted by the recent devalaution of the Naira, which necessitated the revaluation of our foreign currency obligations.

    Net finance costs (129,910,255) (2,441,589)
    Loss before income tax (69,117,596) 43,739,909
    Income tax expense 19,136,251 (15,988,873)
    Loss for the period (49,981,345) 27,751,036

    Going into the second half of the year, we will continue to focus on optimising our operations to ensure the availability and accessibility of the nutritious food and beverages our loyal customers expect from us.“

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