The Company’s revenue increased by 46% to ₦19.43 billion from ₦13.33 billion in the corresponding period. This was caused by a 48% increase in sales generated within Nigeria, being the Company’s primary geographical segment as it comprises 99% of the Company’s sales.
On the other hand, Unilever Nigeria reported a 51% upsurge in its Cost of Sales. This was jointly driven by an increase in Brand and Marketing, Overheads, and Service Fees by 63%, 53% and 124% respectively.
Also, the Finance Income shrunk by 62% to ₦186,79M from ₦495,64M in Q1’2020. This was aided by a 90% decline in Interest on-call deposits and bank accounts and, also a 42% decline in Exchange difference on bank accounts.
However, the Company’s Finance Cost increased by 5498% to ₦34,37M from ₦614,000 in Q1’2020. This major upsurge was attributed to Interest on third party bank loans and Employee benefit charge.
As a result of the high Cost of Sales and Finance Cost in Q1’2021, the Company’s Profit Before Tax (PBT) and Profit After Tax (PAT) declined by 112% and 144% to ₦110.09M and ₦492.00M, as against ₦948.47M and ₦1.11 billion in the corresponding period of 2020.
Consequently, the Earnings Per Share (EPS), settled at (₦0.09) per share; representing a 135% decrease as against ₦0.26 in Q1’2021.
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