UAC Nigeria Plc has posted a pre-tax profit of N12.34 billion in FY 2023, representing a massive turnaround from the N4.37 billion loss recorded in 2022.
The group’s pre-tax profit in 2023 is also its highest since 2014, when it recorded a pre-tax profit of N14.1 billion.
According to the group’s audited financial statement, its revenue hit N120.5 billion in FY 2023, representing a 10% increase from the N109.3 billion posted in 2022. About 53.2% of the group’s revenue (N64.2 billion) came from its animal feeds business.
Key Highlights (FY 2023 vs FY 2022)
- Revenue: N120.53 billion +10.3% YoY
- Operating Profit: N9.09 billion, +481.4% YoY
- Other operating income: N8.82 billion, +1087%
- Net finance income: N2.39 billion, +214.5% YoY
- Profit before tax: N12.34 billion, +382.7% YoY
- Profit for the year: N8.91 billion, +322.7% YoY
- Cash and cash equivalents: N25.27 billion, +56.0% YoY
- Total assets: N112.35 billion, +19.7% YoY
- Earnings per share: N3.14, +393.5% YoY
As of March 28, UAC Nigeria share price was N13.75, and year-to-date, the group’s share price has appreciated by 7%. The group’s total assets grew by 19.7% in 2023, as its shareholders’ fund increased by 17.4% to hit N53.2 billion in 2023 from N45.3 billion posted in 2022.
What you should know
The group’s return to profitability in 2023 is attributable to its “other operating income” of N8.82 billion recorded in 2023. According to the group’s financial statement, its foreign exchange gains or losses were presented as “other operating income”.
The group operates across four segments, which are animal feeds and other edibles, paints, packaged food & beverages, and quick service restaurants.
It also operates five subsidiaries namely, Grand Cereals Limited, Chemical & Allied Products Plc, MDS Logistics Limited, UAC Foods Limited, and Livestock Feeds Plc.
In 2023, the animal feeds & other edibles segment recorded a revenue of N64.17 billion, the paints segment recorded N23.89 billion in revenue, the packaged foods and beverages segment recorded revenue of N28.55 billion, while the quick service restaurant recorded a revenue of N3.72 billion.
