Cadbury Nigeria Plc has reported a profit after tax of N5.97bn for the first quarter ended 31 March 2025, marking a significant recovery from the N7.32bn loss posted in the corresponding period of 2024.
The turnaround was driven by a 57 per cent surge in revenue, which rose to N37.23bn in the first quarter of 2025 from N23.70bn in the same period last year. This revenue boost came despite inflationary pressures and foreign exchange challenges in the economy.
According to its unaudited financial statements filed with the Nigerian Exchange Limited recently, Cadbury’s gross profit for the period grew by 143 per cent, hitting N12.15bn compared to N4.99bn in Q1 2024. The company also recorded N390.78m in other income, reversing a loss of N11.49m posted in the previous year.
Operating expenses rose moderately, with selling and distribution expenses increasing to N2.26bn from N1.48bn, while administrative expenses fell to N597.85m from N737.33m in the corresponding period. Operating profit stood at N9.69bn, up from N2.76bn last year.
One of the most notable improvements came from Cadbury’s finance cost. In the first quarter of 2024, the company recorded a net finance cost of N13.22bn, which significantly pressured the bottom line. However, in Q1 2025, this dropped to N1.14bn, reducing the impact of borrowing and exchange-related expenses.
The result was a pre-tax profit of N8.54bn, a dramatic shift from the N10.46bn pre-tax loss recorded in the prior year. After accounting for an income tax expense of N2.56bn, the company closed the quarter with a net profit of N5.98bn.
Cadbury’s earnings per share stood at 262 kobo, a strong reversal from a loss per share of 321 kobo reported in the same period of 2024.
On the balance sheet side, Cadbury’s total assets rose to N84.33bn from N72.44bn in December 2024, indicating improved working capital and investment levels. Inventory levels nearly tripled, increasing to N32.66bn from N13.81bn, possibly reflecting higher production and stockpiling to meet increased demand.
Cash and cash equivalents, however, declined significantly from N16.34bn in December 2024 to N6.25bn in March 2025, likely due to operational or financing activities during the quarter.
The company’s retained losses also narrowed from N37.30bn to N31.32bn, suggesting the ongoing recovery may help restore shareholder value over time.
The PUNCH reported that Cadbury Nigeria Plc has reported a loss after tax of N10.4bn for the year ending December 31, 2024, representing a 45 per cent reduction compared to the N19.1bn loss recorded in 2023. The improvement was driven by a 47 per cent reduction in loss before tax, which declined to N14.9bn from N28.2bn in the prior year.
