Nestle Nigeria Plc, reported a nearly 3000% increase in profits for the first-half of 2017. Net profit rose to N16.5bn from N535m in 2016. The company which makes products such as Milo cocoa drink and Nescafe coffee, among others said that profit was boosted by a 54% surge in revenue to N121.9bn, from N80bn in the previous year. Net income also benefited from price increases taken in 2016 which carried over to the second quarter and lower finance charge which dropped 84% in the period to N2.2bn, from N14bn in 2016, thanks to an improving economy and foreign exchange liquidity. Cost of sales grew 48% in the period, driven by double-digit inflation and a weakened Naira. Nestle remarked in the first quarter that the marked increase in revenue is a testament that the company’s brands still enj
Champion Breweries Plc, the Akwa Ibom-based brewer reported a 9% growth in net profit for the six months ended 30th June. The company’s net earnings rose to N86m from N79m in the previous year. In the three months to the end of June, profit soared 114% to 47m, from N22m. The profit rise came on the back of a 25% surge in sales in the six months to end of June as sales reached N2.3bn from N1.8bn in 2016. At the same time, cost of sales grew 33% reflecting higher input costs and inflation. However, the firm kept a lid on expenses as selling and administrative expenses stayed nearly the same from the previous year. Champion Breweries is majorly owned by Raysun Nigeria Limited, a wholly owned subsidiary of Heineken N.V. The brewery was first acquired by Heineken N.V. in 2010 from Sona Group an
Nigerian Breweries Plc, said on Friday that the benefits of the price increases it took in 2016 to mitigate the effects of skyrocketing inflation and foreign currency challenges continued into its first-half results. The company declared a 15% growth in revenue for the first six months of its financial year. Sales grew to N181bn, from N157bn from the previous year. However, higher input costs contributed to a 28% increase in overall cost and expenses, which were the result of double-digit inflation and a challenging operating environment. The brewer notes that its continued focus on productivity efficiencies as well as one-off ‘Other income’ and a lower net finance charge in the period boosted profits 24.4% to N23.8bn, from N19bn in 2016. NB warns that the operating environment remains cha
Cadbury Nigeria Plc, the bournvita maker on Wednesday reported a half-year loss of N766m for the period ended June 30. In the same period a year ago, the company recorded a profit of N147m. Despite growth in revenue of 16.9%, rising cost of sales which grew 33% in the period to N13bn, from N9.8bn, driven by inflation and higher foreign exchange rates had an adverse impact on gross profit, and on net finance cost, leaping 348% to N274m. Cadbury Nigeria Plc is a subsidiary of Mondelez International Inc, a U.S.-based global beverage and confectionary company. The firm manufactures three categories of products: Refreshment Beverages, which includes Cadbury Bournvita and Cadbury 3-in-1 Hot Chocolate; Tom Tom confectionery; and Intermediate Cocoa Products, consisting of cocoa powder, cocoa cake ...