British-based consumer goods company PZ Cussons Plc has announced the proposed sale of its Nutricima Nigeria dairy business.
In a statement, the company said it has exchanged contracts for the sale of the assets associated with Nutricima’s business to FrieslandCampina WAMCO Nigeria Plc, an affiliate of Royal FrieslandCampina in the Netherlands. Under Nigerian law, completion of the transaction is subject to merger clearance in Nigeria, the statement read.
PZ Cussons Nigeria Plc, over the weekend reported a net loss of N1.09bn for the first quarter of 2019/2020 financial year, further worsening its loss from the same period in 2019 when it recorded a net loss of N205m.
The consumer goods company said that revenue declined marginally by 0.5% to N15.8bn, driven by low consumer demand, which was impacted by a weak economy as well as competition in the market place.
British-based PZ Cussons Plc said it will sell-off non-core brands and simplify its Nigerian business following a 6.8% decline in full year revenue to £689.4 million from £739.8 in the previous year. Pre-tax profits fell 37.5% to £37.0 million, compared to £59.2 million it earned in the previous year.
The group said that macro-conditions in Nigeria were to blame for its poor performance. “A sustained lack of liquidity at both consumer and trade level has resulted in a significant contraction in the size of the market, resulting in lower volumes, prices and margins,” it said.
PZ Cussons Plc, the British maker of a wide range of consumer goods and parent company of PZ Cussons Nigeria Plc, issued a profit warning on Thursday ahead of the release of its half-year results in January for period ending 30th November, 2018.
PZ Cussons Nigeria Plc, on Friday announced a net loss of ₦208 million for the first quarter of 2018/19 financial year ending on 31 August.
The consumer goods company which has a diverse product line that includes electricals, personal and homecare products, dairy brands under the Nutricima business line and others said that the loss came as a result of low patronage of its products due to subdued consumer disposable income. Net revenue fell by 14.3% to ₦15.9bn from ₦18.5bn in the same period in 2017.
PZ Cussons Plc, the British maker of a wide range of consumer products and parent company of PZ Cussons Nigeria Plc, issued a profit warning on Thursday ahead of the release of its full year results in May 2018.
The group which trades across the world, including Nigeria, its biggest market, said that pre-tax profit will come in lower than expected in the £80m-£85m range.
PZ Cussons Nigeria Plc, makers of a wide range of consumer products including electricals, personal and homecare products, dairy brands, among others reported a loss of N123m in the first quarter of its 2018 financial year ending on 31 August 2017.
The company blamed its poor performance on higher cost of sales, driven by foreign exchange loss of N1.8bn. Cost of sales rose 17.6% to N12.9bn, while administrative expenses skyrocketed 42% to N1.87bn.
PZ Cussons Nigeria Plc, makers of a wide range consumer goods, including Nutritionals such as Nuhu and Olympic milk brands on Thursday reported a net loss of N289m in its half-year results (June – Nov 2016). In the same period a year ago, the company recorded N780m in profit.
The company blamed the loss on unrealized foreign exchange loss of N4.9bn mostly incurred in the first quarter (June – Aug 2016) when the Central Bank of Nigeria allowed the naira to float leading to a significant loss of the currency’s value by as much as 40%.
PZ Cussons Nigeria Plc, makers of a wide range of consumer products including Nuhu and Olympic milk brands, on Tuesday reported a net loss of N1.6bn in its first quarter results for periods June – August 31, 2016.
The company attributes the loss to a foreign exchange loss of N4.7bn it incurred following naira devaluation in June which erased the group’s N2.2bn operating profit.
PZ Cussons Nigeria Plc said on Wednesday that net profit for the full year ending 31 May 2016 fell 53.4% to N2.1bn, down from N4.6bn in the previous year.
The company said it took an exceptional charge related to the 40% devaluation of the Naira on June 20th when the Central Bank of Nigeria moved to a flexible exchange rate system. It meant that long outstanding trade payables it had which were denominated in US dollars had to be reevaluated at a higher exchange rate causing the decline in profit.
