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Nestlé Nigeria Plc Reports N221.589 Billion Loss Before Tax Amidst Revenue Growth

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WaneInvestmentHouseNot Invested
Community Contributor
Published
February 28 2025
Updated
February 28 2025
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WaneInvestmentHouse's Fair Value
₦900.00
8.3% overvalued intrinsic discount
28 Feb
₦975.00
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Nestlé Nigeria Plc has announced its financial results for the year ended December 31, 2024, reporting a loss before tax (LBT) of N221.589 billion, representing a 113% year-on-year increase from 2023.

Key Point: Despite reporting a significant loss before tax, Nestlé Nigeria Plc achieved revenue growth of 75.2% to N958.8 billion and a 35.6% increase in operating profit to N167.9 billion, demonstrating robust operational performance in a challenging market.

The company attributed the loss to rising finance costs, primarily driven by the devaluation of the Naira. However, the revenue growth and increased operating profit indicate that Nestlé Nigeria Plc's operational performance remains strong, despite the challenging market conditions.

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The user WaneInvestmentHouse holds no position in NGSE:NESTLE. Simply Wall St has no position in any of the companies mentioned. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.

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WaneInvestmentHouse'sFair Value
₦900.0
8.3% overvalued intrinsic discount
Future estimation in
PastFuture-238b2t20142017202020232025202620292030Revenue ₦2.0tEarnings ₦148.2b
% p.a.
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Current revenue growth rate
10.57%
Food revenue growth rate
0.95%