PZ Cussons records N15bn loss in H1



PZ Cussons Nigeria Plc has reported an exchange loss of N15.15bn, which marks an improvement compared to the N87.08bn exchange loss recorded in the prior year.

The company continues to face challenges, with a loss of N7bn for the half-year period ending November 30, 2024. This marks an improvement over the previous year’s loss of N74.14bn, reflecting a 91 per cent decrease in the company’s net loss.

In the company’s unaudited interim financial statements for the half-year and quarter ended November 30, its revenue for the half-year period stood at N96.46bn, a 42 per cent increase compared to the N68.09bn recorded in the same period of the previous year.

PZ Cussons is involved in the manufacturing, distribution, and sale of a wide range of consumer products and home appliances through owned depots.

However, despite the revenue growth, PZ Cussons faced an operating loss of N4.29bn, which is a 94 per cent improvement from the N77.02bn operating loss reported in the previous year.

The company also saw a loss before tax of N5.52bn, which is 93 per cent lower than the N73.80bn recorded in the same period last year.

PZ Cussons incurred N1.48bn in tax expense, which is a 336 per cent increase from the N340.43m reported in the previous period.

The company’s basic and diluted earnings per share for the half-year was a loss of N1.76, compared to a loss of N18.67 per share in the same period of 2023, reflecting a 91 per cent improvement.

The total equity for PZ Cussons at the end of the period was negative N34.51bn, a 25 per cent decline from the previous year’s total equity of negative N27.51bn.

The company also reported a decline in the non-controlling interest, which stood at N356.32m, a 95 per cent reduction compared to N7.02bn recorded in the previous year.

In conclusion, PZ Cussons has shown some positive progress in reducing its losses, but the company still faces ongoing challenges as reflected in its negative equity position and overall losses.

The PUNCH reported that multinational consumer goods company PZ Cussons commenced plans to sell its African subsidiaries to any interested buyer. The parent company of PZ Cussons Nigeria said it is looking at a partial or full sale to mitigate the company’s exposure to fluctuations in the naira, which has devalued by 70 per cent.

The company stated this in its preliminary results published on its website for the year ending May 31, 2024.



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