Connect with us
deals book
Advertisement
Polaris bank
Advertisement
Oando
Advertisement
Alpha
Advertisement
Hotflex
Advertisement
Binance
Advertisement
Advertisement
UBA
Advertisement
Patricia
Advertisement
Access bank
Advertisement
app

live feed

CAP Plc declares N362 million as profit in Q4 2020

Chemical Allied Product Plc (CAP) declared a profit after tax of N361.6 million in the fourth quarter of 2020.

Published

on

CAP Plc

Chemical Allied Product Plc (CAP) in its 2020 unaudited financial statement has declared that the company made a profit after tax of N361.6 million in the fourth quarter of 2020.

This is according to the information and figures contained in Companys’s un-audited results, which was published on NSE’s website today after the close of the market.

The report revealed that the profit, which CAP Plc made in the last quarter of 2020, was 28.1% lower than the profit it made in the corresponding quarter of 2019, as the company’s profit after tax declined from N502.7 million to N361.6 million.

Key Highlights

  • Revenue increased to N2.75 billion, up by 4.4% Y-o-Y.
  • Gross profit decreased to N1.06 billion, down by 13.2% Y-o-Y.
  • Gross Margin declined to 38.7% from 46.5%. Showing growing cost inefficiency.
  • Other Operating Income decreased to N22.77 million, down by 8.03% Y-o-Y.
  • Selling and Marketing expenses decreased to N173.9 million, down by 20.99% Y-o-Y.
  • Administrative expenses increased to N437.6 million, up by 12.4% Y-o-Y.
  • Operating Expenses increased marginally N612 million, up by 0.30% Y-o-Y.
  • Earnings Before Interest and Taxation (EBIT) decreased to N475 million, down by 25.8%
  • Net finance income decreased to N56.8 million, down by 42.6% Y-o-Y.
  • Profit for the period decreased to N361.6 million, down by 28.1% Y-o-Y.

What you should know

4.4% increase in revenue in the fourth quarter of 2020 was supported by a 30.4% strong volume growth across key product lines. However, CAP’s Gross profit during this period was pressured by higher input costs on account of supply chain disruptions resulting in a scarcity premium on raw materials which was in short supply.

Consequently, the high input costs pressured profitability in Q4 2020, and this was further compounded by the increase in Administrative expenses which CAP incurred during the quarter.

What they are saying

Managing Director of CAP Plc, David Wright, while commenting on the performance stated that:

CAP recorded modest top-line growth last year despite the COVID-19 lockdown in the second quarter of 2020 and protests in the fourth quarter of 2020, effectively losing 7 weeks of sales. We are encouraged by the growth in revenue which has been solely driven by underlying volume growth in line with our strategy.

Alongside the rest of the world, we experienced supply chain disruptions which impacted our raw material sourcing and resulted in input costs pressures. We have embarked on initiatives focused on mitigating these disruptions and expect to see positive results in 2021.

Hotflex

We announced the proposed merger between CAP and Portland Paints and Products Nigeria Plc in the fourth quarter of 2020. We have received preliminary regulatory approvals and an order from the Federal High Court to hold a Court-Ordered Meeting. Merger completion is subject to shareholder approval and final regulatory approvals and we expect to conclude the merger in the first quarter of 2021.”

Omokolade Ajayi is a graduate of Economics, and a certificate holder of the CFA Institute’s Investment Foundation Program. He is a business analyst, and equity market researcher, with wealth of experience as a retail investor.

Click to comment

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Company Results

Rak Unity Petroleum Company Plc Posts N63 million loss in 2020 FY results

Rak Unity Petroleum Company Plc reported revenue of N1.41 billion representing a 68.14% decline from the N4.42 billion revenue reported a year earlier.

Published

on

Focus: This small-cap oil company is seriously lagging behind

Rak Unity Petroleum Company Plc released its 2021 FY results reporting total revenue of N1.41 billion representing a 68.14% decline from the N4.42 billion revenue reported a year earlier.

  • Operating expenses during the year was N149.65 million in 2020 compared to N221.89 million in 2019. –32.56% YoY
  • The company reported a loss after tax of N63.02 million in 2020 compared to N14.52 million loss after tax in 2019.
  • It reported a loss per share of N1.11  in 2020 compared to N0.26 loss per share reported in 2019.
  • No dividend announcement was made in their press release.
  • The company share price of N0.30 unchanged YTD.

See link to results here

Continue Reading

Company Results

Conoil posts 23% post-tax profit decline in 2020 FY results

Conoil Plc reported a revenue of N117.47 billion representing a 15.95% decline from the N139.76 billion revenue reported a year earlier.

Published

on

Conoil Plc released its 2021 FY results reporting revenue of N117.47 billion representing a 15.95% decline from the N139.76 billion revenue reported a year earlier.  

  • Operating expenses during the year was N7.64 billion in 2020 compared to N9.68 billion in 2019. 20.9% YoY 
  • The company reported a profit after tax of N1.52 billion in 2020 compared to N1.97 billion in 2019. –22.97% cut YoY.  
  • It reported an earnings per share of 219 kobo in 2020 compared to 284 kobo earnings per share reported in 2019. 22.89% YoY. 
  •  No dividend announcement was made in their press release. 
  • The company share price of N20.85, up +0.72% YTD. 

See link to results here

Continue Reading

  





Nairametrics | Company Earnings

Access our Live Feed portal for the latest company earnings as they drop.