Cadbury Nigeria PLC has announced a pre-tax profit of N2 billion for the fourth quarter of 2024, as detailed in its financial statement released on the Nigerian Exchange (NGX) on January 27, 2025.
Gatekeepers News reports that this marks a remarkable recovery, with a 111.73% improvement compared to the pre-tax loss of N17.3 billion reported for the same quarter in 2023. Consequently, the total pre-tax loss for the fiscal year 2024 was reduced to N14.8 billion from N28.1 billion in fiscal year 2023.
In terms of revenue, the fourth quarter showed a significant year-on-year increase of 87.28%, reaching N39.6 billion, up from N21.1 billion in the same quarter the previous year.
Overall, total revenue for fiscal year 2024 amounted to N129.1 billion, reflecting a 60.73% increase from N80.3 billion in fiscal year 2023, with domestic sales contributing a substantial 88.5% of this figure.
Key financial highlights for FY 2024 compared to FY 2023 include:
– Revenue: N129.1 billion, an increase of 60.73% year-on-year
– Cost of Sales: N111.6 billion, an increase of 77.18% year-on-year
– Gross Profit: N17.4 billion, an increase of 0.90% year-on-year
– Other Income: N1.5 billion, a significant decrease of 2,226.56% year-on-year
– Selling and Distribution Expenses: N6.2 billion, a decrease of 15.21% year-on-year
– Operating Income: N6.4 billion, a decrease of 18.64% year-on-year
– Net Finance Cost: N21.3 billion, a decrease of 40.88% year-on-year
– Pre-tax Loss: N14.8 billion, a reduction of 47.10% year-on-year
– Total Assets: N64.5 billion, an increase of 1.82% year-on-year
Despite the significant revenue growth, the cost of sales rose sharply by 77.18% to N111.6 billion, which negatively impacted gross profit, which saw only a slight increase of 0.90% to N17.4 billion. Other income experienced a dramatic decline, dropping from N72.5 million in FY 2023 to a loss of N1.5 billion in FY 2024, largely due to a N757 million impairment provision for idle assets and additional expenses totaling N629.7 million.
On a positive note, selling and distribution expenses decreased by 15.21%, falling from N7.3 billion to N6.2 billion. However, operating income faced an 18.64% decline, decreasing to N6.4 billion from N7.8 billion in FY 2023.
Cadbury Nigeria also made strides in reducing net finance costs, which declined by 40.88% to N21.3 billion, down from N36 billion. Notably, exchange differences accounted for 68.5% of these costs, while interest expenses on borrowings represented 28.2%.
The company successfully turned around its full-year pre-tax loss, which decreased by 47.10%, down from N28.1 billion to N14.8 billion. The fourth quarter, in particular, saw a profit of N2 billion, a recovery from a loss of N17.3 billion in Q4 2023.
As of December 31, 2024, Cadbury Nigeria reported total assets of N64.5 billion, reflecting a 1.82% increase from N63.4 billion in 2023. Non-current assets grew from N23.1 billion to N25.6 billion, with property, plant, and equipment accounting for N16.7 billion of that total. Conversely, current assets decreased by 3.33%, falling from N40.2 billion the previous year to N38.9 billion for FY 2024.
