John Holt Plc has published its report for the financial year ending September 30, 2024, revealing a pre-tax profit of N2.5 billion.
This figure indicates a significant improvement from the pre-tax loss of N1 billion reported in the same period in 2023.
The company experienced a revenue increase of 71.92%, reaching N3.1 billion from N1.8 billion in the previous year, with finished goods sales making up 82.5% of the total revenue.
Additionally, John Holt’s other operating income rose by 710.90%, totaling N4.7 billion, up from N587 million the prior year.
Much of this increase was supported by the parent company, which contributed 72.3% to the total.
Key highlights
Revenue: N3.1 billion, +71.92% YoY
Cost of Sales: N2.5 billion, +92.34% YoY
Gross Profit: N616 million, +19.61% YoY
Other Operating Income: N4.7 billion, +710.90% YoY
Foreign Exchange Loss: N2 billion, +58.71% YoY
Pre-tax Profit: N2.5 billion, -346.9% YoY
Post-tax Profit: N2.4 billion, -347.4% YoY
Earnings Per Share: N634 million, -347.66% YoY
Total Current Assets: N8.8 billion, -38.71% YoY
Commentary
A cursory look at John Holt Plc’s financial performance reveals that the company achieved profits while contending with significant challenges, including rising costs of sales and notable foreign exchange losses.
Revenue increased by 71.92% year-on-year, reaching N3.1 billion, up from N1.8 billion in the previous year.
- Sales of finished goods comprised 82.5% of total revenue, contributing N2.6 billion.
- While property rents and repair services accounted for 12.7% and 4.69%, respectively.
However, the cost of sales spiked by 92.34% year-on-year to N2.5 billion, compared to N1.3 billion last year.
- The costs associated with selling finished goods represented 86.17% of this total.
As a result, the company reported a modest 19.61% growth in gross profit, totaling N616 million, up from N515 million the previous year.
Additionally, John Holt experienced a significant increase in ‘other operating income,’ which soared to N4.7 billion, a marked rise from N587 million in 2023.
- Of this, operating income from the parent company accounted for N3.4 billion, or 72.34% of the total.
- While fair value investment gains on properties contributed 21.65%.
Conversely, foreign exchange losses amounted to N2 billion, reflecting a 58.71% increase on the previous year’s losses of N1.2 billion.
Nevertheless, the company managed to report a pre-tax profit of N2.5 billion, offsetting a pre-tax loss of N1 billion reported earlier.
- The post-tax profit of N2.4 billion also contrasts with the N1 billion post-tax loss from the previous year.
Earnings per share improved from a loss of N2.36 reported the previous year to a profit of N6.34 for 2024.
Asset position
- In 2024, the Group’s total non-current assets rose substantially to N7 billion, up from N5.7 billion in 2023, driven by increased property and investment properties, with leasehold land comprising 60.1% and leasehold buildings 29.5% of property, plants, and equipment.
- However, total current assets sharply declined to N1.7 billion from N8.6 billion, primarily due to a significant reduction in cash and the absence of related party receivables.
Consequently, the Group’s overall assets decreased to N8.8 billion, down from N14.4 billion in the previous year.
