Nestle Nigeria Plc, reported a nearly 3000% increase in profits for the first-half of 2017. Net profit rose to N16.5bn from N535m in 2016.

The company which makes products such as Milo cocoa drink and Nescafe coffee, among others said that profit was boosted by a 54% surge in revenue to N121.9bn, from N80bn in the previous year.

Net income also benefited from price increases taken in 2016 which carried over to the second quarter and lower finance charge which dropped 84% in the period to N2.2bn, from N14bn in 2016, thanks to an improving economy and foreign exchange liquidity.

Cost of sales grew 48% in the period, driven by double-digit inflation and a weakened Naira.

Nestle remarked in the first quarter that the marked increase in revenue is a testament that the company’s brands still enjoy strong patronage from consumers despite the inflationary pressures, weak purchasing power of the consumer and challenging macroeconomic environment. However, the firm said it is important to note that the growth has also benefited from a lower base in the same period of last year.