Cadbury Nigeria PLC’s most recent financial statement, posted on the Nigerian Exchange (NGX) on January 27, 2025, showed a pre-tax profit of N2 billion for the fourth quarter of 2024.
This essentially lowers the full-year pre-tax loss from N28.1 billion in FY 2023 to N14.8 billion for FY 2024, representing a recovery of 111.73% from the pre-tax loss of N17.3 billion reported in 2023.
Revenue increased significantly in the fourth quarter, rising 87.28% yearly to N39.6 billion from N21.1 billion in the same quarter the year before.
As a result, domestic sales accounted for a sizable amount of the overall revenue for fiscal year 2024, which increased by 60.73% to N129.1 billion from N80.3 billion in FY 2023.
Key Highlights (2024 vs. 2023 FY)
- Revenue: N129.1 billion ▲ 60.73% YoY
- Cost of Sales: N111.6 billion ▲ 77.18% YoY
- Gross Profit: N17.4 billion ▲ 0.90% YoY
- Other Income: N1.5 billion ▼ 2,226.56% YoY
- Selling & Distribution Expenses: N6.2 billion ▼ 15.21% YoY
- Operating Income: N6.4 billion ▼ 18.64% YoY
- Net Finance Cost: N21.3 billion ▼ 40.88% YoY
- Pre-tax Loss: N14.8 billion ▼ 47.10% YoY
- Total Assets: N64.5 billion ▲ 1.82% YoY
Analysis
Domestic sales accounted for 88.5% of the company’s N129.1 billion in revenue in FY 2024, a significant increase of 60.73% from N80.3 billion in FY 2023.
- The gross profit, which increased by just 0.90% to N17.4 billion, was negatively impacted by the 77.18% increase in the cost of sales to N111.6 billion.
Other income experienced a precipitous decline, from N72.5 million in FY 2023 to a loss of N1.5 billion in FY 2024.
- This reduction was mainly due to an impairment provision of N757 million for idle assets and increased expenses of N629.7 million.
Positively, selling and distribution costs decreased by 15.21%, from N7.3 billion to N6.2 billion.
However, operating income dropped by 18.64%, from N7.8 billion in FY 2023 to N6.4 billion.
The business performed exceptionally well financially, cutting net finance costs by 40.88%, from N36 billion to N21.3 billion.
- Interestingly, interest charges on borrowings comprised 28.2% of total costs, while exchange discrepancies comprised 68.5%.
Additionally, Cadbury saw a significant improvement in its full-year pre-tax loss, which dropped from N28.1 billion to N14.8 billion, a 47.10% decline.
- After losing N17.3 billion in Q4 2023, the company made N2 billion in pre-tax profit in the fourth quarter.
Position Of Assets
As of December 31, 2024, the company reported total assets of N64.5 billion, up 1.82% from N63.4 billion in 2023.
- Property, plant, and equipment accounted for N16.7 billion of the increase in non-current assets, from N23.1 billion to N25.6 billion.
- On the other hand, current assets fell by 3.33%, from N40.2 billion in FY 2024 to N38.9 billion.
