Report published
Nestlé Nigeria Plc announced its financial results for the year 2018. The company posted a revenue of N 266.3 billion recording a growth of 9.1% over the previous year. Gross profit for the year stood at N 113.9 billion, compared to N 100.9 billion during the previous year. The Company posted N 60.6 billion as Results from Operating Activities in 2018 vs N 55.7 billion during the previous year. The detailed financial statements are available on Nestlé website https://www.nestle-cwa.com/en/investors/nigeria
In addition to N 20 per share interim dividend already paid, the Board proposed a final dividend of N 38.50 per share for 2018 for approval at the company’s Annual General Meeting on 28th May 2019.
Results
| 2018 (N’000) | 2017 (N’000) | |
|---|---|---|
| Revenue | 266,274,621 | 244,151,411 |
| Cost of Sales | -152,354,445 | -143,280,260 |
| Gross Profit | 113,920,176 | 100,871,151 |
| Marketing and Distribution expenses | -43,489,890 | -35,157,152 |
| Administrative expenses | -9,789,555 | -10,015,626 |
| Results from operating activities | 60,640,731 | 55,698,373 |
| Finance income | 1,716,889 | 6,239,371 |
| Finance costs | -2,606,774 | -15,109,062 |
| Net finance costs | -889,885 | -8,869,691 |
| Profit before income tax | 59,750,846 | 46,828,682 |
| Income tax expense | -16,742,820 | -13,104,952 |
| Profit for the period | 43,008,026 | 33,723,730 |
Commenting on the results, Mr. Mauricio Alarcon, Managing Director/CEO said, “We are pleased with our 2018 results considering the increasingly competitive business environment. The growth was driven by the continued loyalty of our consumers as we focused on consistently delivering high quality, tasty and nutritious food products adapted to their preferences. The discipline and dedication of our people also supported this business outcome.”
The company continued to invest in innovation to keep delighting consumers with its iconic brands. The multi-cereal Nestlé Golden Morn Puffs fortified with iron was introduced during the year.
In line with its purpose of enhancing quality of life and contributing to a healthier future, Nestlé Nigeria worked alongside stakeholders to execute projects aimed at improving livelihoods in communities connected to its operations while delivering value to its shareholders. This is a principle called Creating Shared Value, (CSV). The CSV projects include provision of access to clean drinking water, providing nutrition education, farmer capacity building and grain quality improvement through Feed the Future Nigeria and Nestlé Maize Quality Improvement Partnership.