Cadbury Nigeria Plc: Decline in domestic and export sales depletes revenue

Cadbury Nigeria Plc reported revenues of N25.77 billion in 2020 9M, compared to N28.91 billion same period in 2019.

Key highlights for 2020 9M

• Revenues decreased to N25.77 billion, -10.87% YoY.
• Revenues from domestic sales decreased to N22.96 billion, -10.31% YoY.
• Revenues from export sales decreased to N3.3 billion, -14.42% YoY.
• Cost of sales decreased to N20.52 billion, -11.02% YoY.
• Administrative expenses decreased to N935.98 million, -28.87% YoY.
• Pre-tax profits increased significantly to N1.22 billion, +31.84% YoY.
• Earnings Per Share increased to 45 kobo, +28.57% YoY.

Bottom Line

Cadbury Plc recorded decrease in its domestic and export revenues generating unit. Companies have generally recorded decreased revenues in the last three quarters mostly due to COVID-19. Cadbury’s revenues did not increase in the period under consideration. However, pre-tax profits surged, thanks to a reduction in the cost of sales and administrative expenses.