COMPANY ANALYSIS: Further slowdown in Q3 dashes Presco’s N28b profit hopes for 2022 | TheCable
The oil palm and rubber producing company realised N2.4 billion profit in the third quarter, down from N3.65 billion in the same quarter in 2021. That tops up its N13.5 billion profit at half year to N15.9 billion at the end of the third quarter.
Presco is however on target on revenue performance, which was forecast to stand at N70 billion at full year. Based on quarterly average sales revenue of N19.7 billion at the end of the third quarter and notwithstanding a likely slowdown in the final quarter, the full year revenue target may be exceeded.
The cost increases in the third quarter reinforced the pressure recorded in the second quarter, which weakened further the company’s ability to convert revenue into profit. Cost of sales jumped from about N11 billion at half year to N20.6 billion at the end of the third quarter, representing 149 percent rise year-on-year.
The company’s management did cut down administrative expenses in the third quarter but not as rapidly as it had expected. At N10.7 billion at the end of September 2022, administrative cost grew by 40 percent year-on-year, breaking the high speed growth of over 187 percent in administrative expenses at half year.
Nigeria Latest News, Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
81 killed, 244 injured in Osun road accidents in 2022 - FRSCFRSC says most of the accidents were as a result of traffic rules violation and over speeding.
Read more »
Rita Dominic, four other entertainers who tied the knot in 2022 - Daily TrustThe year 2022 has been an exciting one for the entertainment industry in Nigeria. The entertainment sector witnessed drastic growth...
Read more »
Deadly attacks, Mbaka, Second Niger Bridge, other defining events in Nigeria’s south-east in 2022The year 2022 will be remembered for the deadly attacks in the South-east. And there is no sign that the attacks are likely...
Read more »
Precious Okoye wins Miss Africa 2022 beauty pageantNigerian model, Precious Okoye has emerged winner of Miss Africa 2022 beauty pageant held in Calabar, Cross River State. Precious took the crown on
Read more »
Entertainers who passed away in 2022 - Daily TrustSome entertainers we admired on our screens passed away within the year. Here are five of those actors who left us this year...
Read more »
‘E dey pain dem’, 'Bala Blu Bulaba' other viral slang phrases of 2022In 2022, while Nigerian skitmakers and pranksters made us laugh even amidst the economic downturn and unrest in the country, some specific slang phrases were quickly adopted by people of all ages and classes.
Read more »