H1 2022: Nestle Nigeria posts 30% increase in revenue to N222.5bn
By Philemon Adedeji
Nestlé Nigeria plc has announced 30 per cent growth in revenue to N222.5 billion in its half year (H1) unaudited financial statement for the period ended June, 30, 2022, from N171.4 billion announced in prior-year (H1) results.
Nestlé Nigeria plc is a fast moving consumer good company listed on the Nigerian Stock Exchange, In its unaudited financial statement submitted to the Nigerian Exchange Group Limited revealed a 31 per cent increase in Profit Before Tax (PBT) to N43.7 billion in H1 2022 from N33.4 billion accounted in H1 2021.
The group unaudited result showed Profit After Tax of N21.7 billion recorded in prior year-period of 2021 to N27.7 billion recorded in the comparable period of 2022, Nestlé Nigeria Plc has recorded a 28 per cent growth in Profit After Tax during the half year ended 30 of June 2022.
The cost of sales was observed massive increase during the period of study, reporting a 35.5 per cent rise to stand at N142.2 billion in H1 2022 from N105 billion achieved in H1 2021, the growth in cost of sales drives gross profit to gain a 20.7 per cent from N66.4 billion reported in H1 2021 to N80.2 billion recorded in H1 2022.
The group marketing and distribution expenses stood at N28.3 billion in H1 2022 from N23.5 billion in H1 2021, reflecting an improvement of 20.7 per cent, but the group administrative expenses dipped by 14 per cent to N5.671 billion in H1 2022 from N6.612 billion in H1 2021.
In addition, the fast moving consumer good company grew its Earnings Per Share (EPS) by 28 per cent to N35.01 in H1 2022 from N27.42 generated in 2021
Mark Schneider, Nestlé CEO, commented, “In the first half of the year, we delivered strong organic growth and a significant increase in underlying earnings per share. Our local teams implemented price increases in a responsible manner. Volume and product mix were resilient, based on our strong brands, differentiated offerings and leading market positions. We limited the impact of unprecedented inflationary pressures and supply chain constraints on our margin development through disciplined cost control and operational efficiencies. At the same time, investments behind capital expenditure, digitalization and sustainability increased significantly.
“We are focused on creating shared value over both the short and long term. Growing food insecurity around the world and heightened climate concerns, following an increase in unusual weather patterns, underlines the importance of this strategic direction. Good for you and good for the planet are the two key strategic pillars that our company pursues in an unwavering manner, even in the face of significant short-term challenges.”
