Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / New
Stats: 3,227,710 members, 8,071,366 topics. Date: Wednesday, 05 February 2025 at 09:03 PM

Honeywell Flour’s Profit Falls To N68m From N4.4bn - Business - Nairaland

Nairaland Forum / Nairaland / General / Business / Honeywell Flour’s Profit Falls To N68m From N4.4bn (230 Views)

GTB Vs Innoson: Supreme Court Rules In Favour Of GTB In N2.4bn Debt / Naira Falls To ₦540 Per Dollar / Naira Falls To All-time Low Of 527 Naira To A Dollar (2) (3) (4)

(1) (Reply) (Go Down)

Honeywell Flour’s Profit Falls To N68m From N4.4bn by dipoolowoo: 5:23am On Jun 29, 2019
By Dipo Olowookere

After a long wait, the board of Honeywell Flour Mills Plc on Friday released the financial statements of the company for the year ended March 31, 2019.

In the results briefly analysed by Business Post, the flour miller, which has struggled in recent times due to the Apapa traffic gridlock in Lagos, suffered a 98 percent decline in its profit after tax in the period under review.

The PAT, which stood at N4.4 billion in the 2018 fiscal year, went down to N68.4 million in the 2019 financial year.

This was as the profit before tax (PBT) depreciated by 88 percent to N607.8 million from N4.9 billion achieved a year ago.

However, the revenue generated by Honeywell Flour, which also struggles for market share with Dangote Flour and others, improved by 4 percent in 2019 to N74.4 billion from N71.5 billion in 2018.

According to the firm, the cost of sales during the year increased to N62.9 billion from N55.4 billion, while the selling and distribution expenses rose to N6.1 billion from N2.1 billion, with the administrative expenses jumping to N2.3 billion from N2.1 billion.

In the year, the company said it netted a gross profit of N11.5 billion compared with N16.1 billion of the previous year, while the other income appreciated to N751.5 million from N202.2 million.

It further said finance cost gulped N3.3 billion against N4.6 billion of the previous financial year.

An analysis of its balance sheet showed that the total assets of the company rose to N137.5 billion from N124.8 billion, while the total liabilities increased to N80.8 billion from N68.4 billion, with the shareholders’ fund rising to N56.7 billion from N56.4 billion.

https://businesspost.ng/2019/06/29/honeywell-flours-profit-falls-to-n68m-from-n4-4bn/
Re: Honeywell Flour’s Profit Falls To N68m From N4.4bn by Nobody: 5:33am On Jun 29, 2019
Too bad.
Re: Honeywell Flour’s Profit Falls To N68m From N4.4bn by Nukilia: 6:10am On Jun 29, 2019
Are we making profit or loss... Need a financial analyst to help explain the implication of this report to shareholders sad
Re: Honeywell Flour’s Profit Falls To N68m From N4.4bn by project4OO: 6:32am On Jun 29, 2019
I think there's more to the decline than traffic gridlock in that axis. Other FMCGs such as GSK, Unilever, Nestle, etc also suffered significant decline in earnings due to traffic gridlock which of course, increased cost of sales and distribution cost, but 98% decline is too much and worrisome.

Well, the government needs to look into this issue, we are so tired of reading the same news about Apapa year in year out. A decline in profit means decreased tax, slim revenue, and more debt perhaps.

1 Like

(1) (Reply)

[free]-Learn How To Optimize Your Google My Business Page / Buy And Sell On Isabibuy / Best Of The Best Office Furnitures.

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2025 Oluwaseun Osewa. All rights reserved. See How To Advertise. 11
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.