Northern Nigeria Flour Mills hit a-5 year low
Wheat farming in Nigeria

Northern Nigeria Flour Mills hit a-5 year low in last week’s trading session on the Nigerian Stock Exchange (NSE). The stock opened the week at N4.35 and closed at N3.95, down N0.40 or 9.20%. Year to date, the stock is down 17.71%.

 About the company 

Northern Nigeria Flour Mills was incorporated as a private limited liability company on 29 October 1971. Its registered office is 15, Maimalari road, Bompai Industrial Estate, Kano.

The company was converted to a public limited liability company in 1978 with its shares quoted on the Nigerian Stock Exchange. It is a subsidiary of Flour Mills of Nigeria Plc, which holds 53.06% of its equity.

Principal activities of the firm include, the milling of wheat, maize and sorghum.

Recent results

Results for the half year ended September 30, 2018 show that revenue increased from N1 billion in 2017 to N1.4 billion in 2018. Loss before tax increased from N58 million in 2017 to N97.5 million in 2018.

Will it go lower? 

The stock’s performance in the first quarter of 2019 would be largely dependent on two factors. The performance of the larger market as a whole, which has been largely volatile, as well as the company’s third-quarter results.

Precedence shows that the company has released them either in January or February. 9M 2017 results were released in January 2018, while 9M 2016 results were released in February 2017.

Barring any extraordinary gains, the company could end up with a full year loss for the 2018 financial year (its fourth in a row).

2019/2020 could be worse

Except management takes key decisions, the coming year could be an equally poor one for the firm. Wheat prices are expected to trend slightly upwards, while consumer purchasing power remains strained.


Onome Ohwovoriole has a degree in Economics and Statistics from the University of Benin and prior to joining Nairametrics in December 2016 as Lead Analyst had stints in Publishing, Automobile Services, Entertainment and Leadership Training. He covers companies in the Nigerian corporate space, especially those listed on the Nigerian Stock Exchange (NSE). He also has a keen interest in new frontiers like Cryptocurrencies and Fintech. In his spare time, he loves to read books on finance, fiction as well as keep up with happenings in the world of international diplomacy. You can contact him via


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