Nigeria’s consumer goods companies closed the 2025 financial year with sharply contrasting balance sheet positions, reflecting how operators navigated inflationary pressures, high borrowing costs, foreign exchange volatility, and weak consumer purchasing power.
An analysis of audited FY 2025 financial statements of major Fast-Moving Consumer Goods (FMCG) companies listed on the Nigerian Exchange shows that Dangote Sugar Refinery Plc, Nestlé Nigeria Plc, and BUA Foods Plc recorded the largest debt positions in the sector.
The review also indicates that debt size alone does not fully determine financial strength, as liquidity levels, shareholder equity, and leverage ratios remain critical in assessing sustainability.
What the data is saying
The 2025 financial data present a mixed picture—strong revenue potential on one hand, but significant leverage pressure on the other.
While some companies moved aggressively to cut borrowings and rebuild liquidity, others maintained large debt books to support expansion projects, inventory financing, and working capital requirements.
- The three most indebted FMCG companies accounted for the bulk of borrowings among listed operators in 2025, while some peers ended the year in stronger net cash positions.
- The figures suggest that large FMCG players continue to rely on debt financing for expansion, inventory management, and working capital requirements.
- Beyond the top three, several companies made notable progress in deleveraging during the year, while others maintained relatively modest borrowings.
Top 10 most Indebted FMCG companies by Total Debt – FY 2025
Honeywell Flour Mills Plc posted total debt of N26.97 billion in 2025, unchanged year-on-year, suggesting a moderate leverage and stable debt structure in an operating environment where many peers are actively deleveraging.
- Debt ratio: 0.16
- Debt-to-equity ratio: 4.47x
- Debt-to-capital ratio: 0.82
- Net debt: N21.70 billion
Honeywell Flour Mills presents a relatively modest debt size, but a capital structure that remains debt-heavy when viewed through equity and funding composition.
