National Wire About Nigerians, Nigerian Business and Other Stories
Nestle Nigeria has reported a significant turnaround in its Q1 2025 unaudited results, with earnings per share (EPS) of NGN38.07, a sharp recovery from the loss per share of NGN180.01 in Q1 2024.
The strong performance was driven by robust revenue growth and a reduction in foreign exchange losses.
Key Highlights:
– Revenue grew by 60.7% year-on-year, driven by strong demand and strategic price increases across the Food and Beverages segments.
– Gross margin expanded by 13.86 percentage points year-on-year to 40.6%, reflecting a slower pace of cost of sales growth.
– EBITDA and EBIT margins improved to 28.1% and 25.1%, respectively, despite a rise in operating expenses.
– Net finance costs declined by 89.4% year-on-year to NGN22.99 billion, largely due to the near-elimination of foreign exchange losses.
Positive Outlook:
The company’s strong Q1 2025 results reinforce its resilience amid rising competition. With a diverse product portfolio, strategic pricing, and innovation-driven product upgrades, Nestle Nigeria is well-positioned for a robust operating performance in 2025. The relatively stable cost and exchange rate environment is also expected to support the company’s growth prospects.
