NIGERIA – Nestle Nigeria Plc, a food and beverage speciality company has reported earnings growth of 6% for the full year 2019.
The food and beverage giant said that profit rose to N45.6bn (US$125.6m) from N43bn (US$118.5m) in 2018.
The company benefited from a 6.7% growth in revenue to N284bn (US$782.8m). Nestle was also helped by operating profit rise of 19% to N72bn (US$198.4m).
According to the company, the beverage segment which accounts for 38% of total sales grew by 10% to N108bn (US$297.7m), with pre-tax profit of N25bn (US$68.9m), a 45% increase. Beverage products include Milo, Chocomilo, Nido, Nescafe and Nestle Pure Life.
The food segment grew revenue by 4.7% to N176bn (US$485.1m) and a pre-tax profit of 8% to N47bn (US$129.5m). Food products include Maggi, Cerelac, Nutrend, Nan, Lactogen and Golden Morn.
“In 2019, we reaffirmed our market leadership by delivering increased profits and dividends to shareholders. We achieved this by responding speedily to consumer preferences, by offering product innovation and improving our distribution channels,” said Mauricio Alarcon, Managing Director and CEO of Nestlé Nigeria Plc.
According to him, the company enhanced its portfolio with new products, including MAGGI Signature seasoning mixes adapted to consumer tastes and cuisine across the country. “CERELAC Junior fortified with iron was also launched to help meet the nutrition needs of pre-school children,’’ he said.
On the 2020 outlook, Alarcon said that Nestle Nigeria Plc would continue to focus on the innovation and the renovation of products and on rolling out new solutions and services in response to changing consumer needs.
“This will prepare us for the challenges ahead, while we partner with key stakeholders for the growth of the local economy.”
“With society looking more to business to improve social amenities, Nestlé Nigeria will continue to invest in creating shared value by improving livelihoods in the communities closest to our business operations.”
“This is in line with our purpose of enhancing quality of life and contributing to a healthier future. We will also drive new initiatives to empower our people to deliver outstanding results for themselves, for the organisation and for society,’’ the Nestle Nigeria Plc’s CEO said.