According to its H1’19 unaudited financial result released to the investing public on Wednesday 31st July 2019, Dangote Flour Mills Plc saw a further contraction in both its top and bottom-line performance metrics.
The Group revenue declined further by 13.57% to ₦48.74 billion in H1’19 from ₦56.39 billion in H1’18 as a result of a decrease in sales of all its products (flour, spaghetti, macaroni and pasta products)
The group’s Cost of Sales rose by 3.95% to erode its Revenue due to the 0.54% and 33.97% increases in the cost of materials consumed and conversion costs respectively.
Also, the Finance Income which constitutes interest income from bank deposit dipped from ₦2.05 billion in H1’18 by 92.17% to ₦160.85 million H1’19.
Consequently, the company registered a Loss Before Tax (LBT) and Loss After Tax (LAT) of ₦8.67 billion and ₦6.17 billion in H1’19 relative to H1’18. These amount to a decline of 297.14% and 289.85% respectively in the two bottom-line items.
Similarly, Investors earning’s an indicator (Earnings per Share) decreased by 289.85% to a loss of ₦1.23 in H1’19 compare to ₦0.65 return in the corresponding period of 2018.