Nestlé Nigeria Plc announced its financial results for the year 2019. The company posted revenue of N 283.9 billion recording 6.6% growth over the previous year. Gross profit for the year stood at N 127.6 billion, compared to N 113.9 billion during the previous year. The Company posted N 45.6 billion as Profit After Tax for the year vs N 43.0 billion during the previous year. Detailed financial results are available at https://www.nestle-cwa.com/en/investors/nigeria
In addition to N 25 per share interim dividend already paid, the Board proposed an additional dividend of N 45 per share making for a total dividend of N 70 for 2019. This proposed dividend will be submitted for approval at the company’s Annual General Meeting on 2nd June 2020.
Results:
| 2019 | 2018 | |
| N’000 | N’000 | |
| Revenue | 283,951,790 | 266,274,621 |
| Cost of Sales | -156,325,575 | -152,354,445 |
| Gross Profit | 127,626,215 | 113,920,176 |
| Marketing and Distribution expenses | -45,886,238 | -43,489,890 |
| Administrative expenses | -9,588,889 | -9,789,555 |
| Results from operating activities | 72,151,088 | 60,640,731 |
| Finance income | 1,328,872 | 1,716,889 |
| Finance costs | -2,267,095 | -2,606,774 |
| Net finance costs | -938,223 | -889,885 |
| Profit before income tax | 71,212,866 | 59,750,846 |
| Income tax expense | -25,561,635 | -16,742,820 |
| Profit for the period | 45,651,231 | 43,008,026 |
“In 2019, we reaffirmed our market leadership by delivering increased profits and dividends to shareholders. We achieved this by responding speedily to consumer preferences, by offering product innovation and improving our distribution channels. Our high-performing team adapted quickly to changing consumer expectations by adopting new ways of delighting our consumers in the market place,” said Mauricio Alarcon, Managing Director and CEO of Nestlé Nigeria PLC
The company enhanced its portfolio with new products including MAGGI Signature seasoning mixes adapted to consumer tastes and cuisine across the country. CERELAC Junior fortified with iron was also launched to help meet the nutrition needs of pre-school children.
2020 Outlook:
On the 2020 outlook, Mr. Alarcon said, “We will continue to focus on the innovation and the renovation of our
products and on rolling out new solutions and services in response to changing consumer needs. This will prepare us
for the challenges ahead while we partner with key stakeholders for the growth of the local economy”.
With society looking more to business to improve social amenities, Nestlé Nigeria will continue to invest in creating
shared value by improving livelihoods in the communities closest to our business operations. This is in line with our
purpose of enhancing quality of life and contributing to a healthier future.
We will also drive new initiatives to empower our people to deliver outstanding results for themselves, for the organisation and for society.”
