Cadbury Nig Plc Release 2013 Q1 Results: Cost Cutting Seems to Be Working

Cadbury Nig Plc released its 2013 Q1 earnings with revenue rising 16% to N8.3billion. Gross Profit also improved sharply to N3.2billion (2012: N2.2billion) in the period under review. Operating Profit grew 344% to N1.17billion on the back of their ability to maintain stable operating expenses. Pre-tax profits grew 185% to N1.67billion a 345% increase from same period last year.

Key Highlights

• Result underlines improved margins. For example, operating profit margin rose 283% compared to the same period last year.
• Selling, General and Admin Expenses chalked off 64% of Gross Profit compared to 88% in the prior period
• Debt is still very low. Organic cashflow remains a challenge even though working capital is high at N9.5billion
• Return on Equity is growing steadily at 5% for the quarter
• Share price is N42. P.E ratio is high at about 32x

Cadbury Plc 2013 Q1 results is posted on the website of the NSE