Nestlé Nigeria reports half-year 2020 results

Nestlé Nigeria Plc has announced its financial results for the half year ended 30 June. The company recorded a revenue of N 141.0 billion for the period January to June 2020 against a revenue of N 141.9 billion during the same period in the previous year. The Company reported a profit after tax of N 21.8 billion during the first half of 2020.

 January June 2020January June 2019
   N’000  N’000
Cost of Sales-80,187,961-75,828,436
Gross Profit60,837,13266,080,617
Marketing and Distribution expenses-19,932,317-21,281,300
Administrative expenses-6,577,411-4,365,135
Results from operating activities34,327,40440,434,182
Finance income472,028891,095
Finance costs-937,356-888,676
Net finance costs-465,3282,419
Profit before income tax33,862,07640,436,601
Income tax expense-12,037,041-14,190,447
Profit for the period21,825,03526,246,154

Mauricio Alarcon, Managing Director of Nestlé Nigeria commented: “These results illustrate the resilience of our company. Amidst the on-going COVID-19 pandemic, Nestlé Nigeria has delivered consistent results in terms of revenue while exchange rate variations and increase in the price of some key materials have affected profitability. While it is still early to assess the impact of this crisis, we are fully confident in our people’s agility and deep commitment to overcome challenges and continue to deliver value for our shareholders and for society.

Going forward, we will remain focused on three key priorities: safeguarding the health and wellbeing of our people, ensuring business continuity to meet consumer needs and supporting our communities.

We recognise our responsibility to bring affordable, safe, and high-quality nutrition to everyone, and will continue to work tirelessly to meet the needs of the millions of Nigerians who rely on us to feed their families every day. We will achieve this by unlocking the power of food to enhance quality of life for everyone today and for generations to come.”