Fidson Healthcare PLC has reported a full-year pre-tax profit of N7.5 billion in its recent unaudited financial report, published on the Nigerian Exchange (NGX) on January 30, 2025.
This represents a 27.31% increase from the N5.9 billion reported for 2023, with fourth-quarter pre-tax profit reaching N2.3 billion—an increase of 282.35% from the N627 million reported in the same quarter last year.
In terms of revenue, Q4 saw an increase of 92.96%, totaling N24.4 billion compared to N12.6 billion in the same quarter last year.
Overall, total revenue surged by 58.70% in FY 2024, climbing from N53 billion to N84.1 billion, primarily contributed by ethical goods, which made up 65% of sales, and Over-The-Counter (OTC) products, which accounted for 31.3%.
Key highlights
- Revenue: N84.1 billion, +58.70% YoY
- Cost of Sales: N49.2 billion, +54.09% YoY
- Gross Profit: N34.9 billion, +65.69% YoY
- Other Gains: N636.7 million, +28.11% YoY
- Administrative Expenses: N8.7 billion, +33.31% YoY
- Selling and Distribution Expenses: N8.1 billion, +46.37% YoY
- Operating Profit: N12.9 billion, +62.17% YoY
- Finance Costs: N5.4 billion, +161.38% YoY
- Finance Income: N60 million, +160.87% YoY
- Pre-tax Profit: N7.5 billion, +27.31% YoY
Commentary
Fidson Healthcare reported a full-year revenue of N84.1 billion for FY 2024, marking a year-over-year increase of 58.70% from N53 billion in FY 2023.
- The revenue composition shows that ethical goods accounted for N55 billion, or 65% of total sales, while Over-The-Counter (OTC) products contributed N26.3 billion (31%), with Consumer Healthcare Products making up the remaining N2.8 billion.
However, the cost of sales rose by 54.09% year-over-year, totaling N49.2 billion, up from N31.9 billion in the previous year.
- The costs associated with ethical goods and OTC products represented a substantial portion of these expenses.
Despite the increased cost of sales, the company’s gross profit surged to N34.9 billion, reflecting a year-over-year increase of 65.69% from N21 billion.
Fidson’s ‘other gains’ increased by 28.11% YoY to N636.7 million, up from N497 million the previous year, primarily due to N468.6 million in amortization of government grants and N153.7 million from scrap sales.
- However, administrative expenses rose by 33.31% year-over-year, and selling and distribution (S&D) expenses climbed 46.37%, with sales expenses representing 53.4% of the total S&D expenses and logistics accounting for 39.0%.
Despite these cost pressures, the company recorded strong operating profit of N12.9 billion, a 62.17% increase from N7.9 billion reported in the prior year.
- In contrast, finance costs spiked by 161.38% YoY to N5.4 billion, largely driven by rising interest on loans and other financial liabilities.
However, finance income saw an increase of 160.87%, reaching N60 million compared to N23 million in 2023, entirely attributed to interest earned on loans and receivables.
Ultimately, Fidson Healthcare reported a full-year pre-tax profit of N7.5 billion, reflecting a 27.31% year-over-year increase from N5.9 billion in the previous year.
Asset position
In FY 2024, Fidson reported total assets of N73.3 billion, reflecting a significant increase from N61.9 billion in 2023.
- Non-current assets for 2024 amounted to N25.6 billion, up from N23.7 billion the prior year, with property, plant, and equipment constituting a substantial portion at N24.8 billion.
- Current assets also saw growth, reaching N47.6 billion compared to N38.2 billion in the previous year.
- This increase was primarily driven by inventories, which totaled N23.9 billion, and prepayments, amounting to N12.5 billion.