Unilever Nigeria Plc posted a profit of N4.9bn for the fourth quarter of 2024, reflecting a 29% decline from the N6.87bn profit recorded during the same period in 2023. Despite this drop, the company’s revenue surged by 50% to N45.9bn compared to N30.5bn in Q4 2023.
The revenue increase was offset by a significant rise in the cost of sales, which increased by 38% to N33bn. This increase in operational costs affected the company’s overall profit, with gross profit standing at N12.9bn, a 96% increase from the previous year’s N6.59bn.
Unilever’s operating profit decreased by 42% to N7.48bn, down from N12.85bn in Q4 2023. Additionally, selling and distribution expenses rose by 22%, while marketing and administrative expenses surged by over 278%, reaching N4.61bn from N1.22bn in the previous year.
Despite the rise in costs, Unilever reported an impairment write-back of N717.25m and a significant recovery in its net finance income, which amounted to N302.5m, compared to a net finance loss of N2.62bn in Q4 2023.
Unilever’s profit before tax decreased by 24% to N7.78bn, while its total comprehensive income for the quarter dropped by 30% to N4.63bn. The company’s earnings per share for continuing operations fell by 29%, aligning with the overall profit decline. The improved turnover of N103.8bn represented a 46% increase from the previous year.
Source: Punch