Vitafoam Plc reports 2% decline in pre-tax profits for FY 2022

Vitafoam Plc released its 2022 full-year results on Thursday, December 29, 2022, reporting a pre-tax profit of N7.214 billion.

This represents a 2% decrease from the N523.503 million the company reported during the same period in 2021.

Revenue 

• 2022 FY: N46.310 billion
• 2021 FY: N35.404 billion
• Change: +31%

Gross Profit 

• 2022 FY: N15.397 billion
• 2021 FY: N13.677 billion
• Change: +12.57%

Operating profit 

• 2022 FY: N6.920 billion
• 2021 FY: N7.939 billion
• Change: -12.83%

Finance cost 

• 2022 FY: N704.986 million
• 2021 FY: N852.507 million
• Change: -17.3%

Pre-tax profit 

• 2022 FY: N7.214 billion
• 2021 FY: N7.341 billion
• Change: -2%
• Net Profit after tax
• 2022 FY: N4.522 billion
• 2021 FY: N4.597 billion
• Change: -2%

Cash in hand 

• 2022 FY: N15.278 billion
• 2021 FY: N10.697 billion
• Change: +42.83%

Bottom line: The drop in pre-tax profits was due to the increase in the cost of sales and administrative expenses following inflationary pressure and depreciation of the naira.

According to the financial statement of the company, the cost of sales grew by 42.28% to N30.912 billion in 2022 from N21.726 billion reported in 2021, consuming about 66.75% of N46.310 billion revenue of the group during the period under review.