Flour Mills of Nigeria Plc has released its unaudited financial statement for half-year 2023, showing strong revenue growth across business segments, despite the challenging macroeconomic environment.
A statement by the company said compared to H1’22, overall revenue increased by 38 per cent to N721b, propelled by a favourable mix and some exchange related pricing.
It said the company achieved strong revenue growth averaging 36 per cent across all business segments, while operating performance in the food segment remained solid, notwithstanding a challenging environment with increased input prices and a somewhat softening volume base
The statement read in part, “Golden Sugar recorded double-digit growth in revenue (51 per cent) and a solid profit growth due to increase in volume and various customer engagement efforts to drive customer loyalty. Gross profit reached N33.2bn, up from N25.7bn in H1’22
It also said the group’s operating performance in the food segment remained solid as profit before tax for agro-allied remained at the level achieved the previous year.
It added that the sugar segment recorded a significant rebound compared to Q2 2021 as anticipated due to a normalised competitive playing field, increased route to market expansion into both new and rural markets, and increased customer engagement.
The group is integrating the Honeywell business to realise the synergies anticipated with focus on restructuring the balance sheet to reduce FX exposure and ensure manufacturing stability. This is expected to lead to strong results in the long term.