Tantalizers Plc has released its financial statements for the year ended December 31, 2019. The firm, which is One of leading Quick Service Restaurant Chain (QSR) in Nigeria, recorded that its net profit reduced by 74.3% to N22.2 million from N86.3 million achieved in the 2018 financial year.
Also, the profit before tax went down in FY 2019 to N33.4 million from N96.0 million. Last year, the company paid N11.3 million as tax to the appropriate authorities, higher than N9.8 million paid two years ago, while the earnings per share reduced to one kobo from 3 kobo.
According to the results made available to Brand Spur Nigeria, revenue dropped to N2.8 billion from N3.5 billion. This comprises mainly N1.16 billion from company-owned outlet sales and N1.66 billion generated from franchisees owned outlet sales.
In addition, the cost of sales reduced to N729.7 million from N895.7 million, while the gross profit went down to N534.9 million from N629.4 million, with other income going down to N268.3 million from N421.4 million.
Funds raised from other income included N109.9 million from rent versus N99.7 million in 2018, N17.8 million from advertisement (versus N17.0 million 2018), N111.1 million from the franchise (N162.7 million) and N29.6 million from profit on disposal of property, plant, and equipment (versus N106.2 million in 2018).
Tantalizers recorded N20.8 million as distribution costs against N38.4 million in 2018, administrative expenses reduced to N940.9 million from N1.1 billion, while operating profit dropped to N127.1 million from N262.9 million.
The finance income was N776,712 in the period under review, the finance cost reduced to N94.4 million from N166.9 million. The decrease in the finance costs for the 2019 fiscal year was mainly due to the lower interest on term loans (N88.2 million versus N159.5 million in 2018). Other bank charges also contributed to it as it went down to N6.2 million from N7.4 million.