Nestlé Nigeria Plc has returned to profitability in the first quarter of 2025, posting a profit after tax of N30.2bn, a significant recovery from a loss of N142.7bn recorded in the same period of 2024.

According to the unaudited financial statements for the period ended March 31, 2025, the food and beverage giant recorded a profit before tax of N51.2bn, compared to a pre-tax loss of N196.1bn reported in the first quarter of the previous year.

The company’s revenue rose by 61 per cent to N294.9bn in the first quarter of 2025, up from N183.4bn in the same period in 2024. Cost of sales increased to N175.1bn from N134.4bn, resulting in a gross profit of N119.7bn, more than double the N49.0bn recorded in Q1 2024.

Operating profit also surged by 254 per cent to N74.1bn, compared to N20.9bn in the first quarter of 2024, signalling improved operating efficiency and stronger sales performance. Despite a significant finance cost of N23.5bn, the company’s net finance costs dropped sharply from the previous year’s N217.0bn.

The company’s tax expense stood at N21.0bn, compared to a tax credit of N53.4bn in Q1 2024.

Nestlé Nigeria also reported an improvement in shareholders’ equity, which rose by N30.0bn within the quarter, reflecting stronger financial resilience and improved investor value.

Nestlé Nigeria’s operating profit increased significantly from N20.9bn in January to March 2024 to N74.1bn in the same period of 2025, alongside a considerable improvement in operating margins. The company’s profit before tax stood at N51.2bn compared to a loss of N196.1bn, while profit after tax reached N30.2bn versus a loss of N142.7bn in the corresponding period last year.

The PUNCH reported that Nestlé Nigeria Plc has made an early repayment of $20m in inter-group foreign exchange debt.