Neimeth International Pharmaceuticals Plc has recorded a significant increase in profit after tax, rising by 49 per cent in the first quarter of 2025, according to its interim financial report released at the Nigerian Exchange.
The company’s profit after tax grew from N77.65m in the first quarter of 2024 to N115.76m in the same period this year, with the growth signalling an optimistic outlook for Neimeth’s performance in the 2025 business year.
The report showed that turnover surged by 86 per cent, rising from N648.26m in Q1 2024 to N1.21bn in Q1 2025, gross profit also increased by 27 per cent, moving from N505.11m to N639.72m, while operating profit more than doubled with a 114 per cent increase, climbing from N210.14m to N449.87m.
Earnings per share improved from 2.0 kobo in the first quarter of 2024 to 3.0 kobo in 2025, further highlighting the company’s growing profitability.
The company’s assets rose from N11.99bn as of December 31, 2024, to N12.41bn by March 31, 2025, while shareholders’ funds increased from N1.65bn to N1.77bn during the same period.
The Managing Director and Chief Executive Officer of Neimeth International Pharmaceuticals Plc, Valentine Okelu, said the results reflect the company’s ongoing growth driven by strategic initiatives focused on boosting sales and reducing costs.
“The first quarter 2025 results lay out our path towards substantial growth in revenue and profit. We remain committed to our 2025-2029 strategic growth plan, building strong partnerships and leveraging market opportunities to drive sustainable expansion,” Okelu said.
He added that the company is making concerted efforts to create value for shareholders, stakeholders, and the broader healthcare industry despite challenging economic conditions.
Okelu further noted that Neimeth is restructuring its foreign currency-denominated loans by converting them into naira to protect the company from forex volatility.
“We are also negotiating extended payment terms on outstanding facilities to create financial headroom for a swift return to positive cash flow and profitability,” he said.
The company recently completed an upgrade of its manufacturing facility in Oregun, Lagos, aligning it with Good Manufacturing Practices and enhancing compliance with current GMP standards. Plans are underway to further expand the plant’s capacity to meet growing demand.
Okelu emphasised Neimeth’s commitment to research and development as a driver of innovation and market leadership. The company has invested significantly in new product formulation, improving existing products, and collaborating with medical researchers to develop affordable medicines that address Africa’s unique health challenges.
“We have made substantial investments in R&D, focusing on internal innovation and external collaborations to reduce dependency on imports and support local production,” he said.
With these strategic investments maturing, Okelu expressed confidence that Neimeth is well-positioned to return to profitability and resume dividend payments in the near future.
The PUNCH reported that Neimeth International Pharmaceuticals Plc has reported a 102 per cent surge in revenue, rising from N2.2bn in 2023 to N4.5bn in 2024.
