Flour Mills of Nigeria Plc (FMN), announced significant revenue growth of 67 per cent to N763.2 billion during the first quarter ended June 30, 2024.
The impressive performance was an improvement from N456.4 billion it achieved in the same period of last year. The Group’s Gross Profit saw a 73 per cent increase to N86.9 billion and a 68 per cent growth in Operating Profit.
The profit for first quarter 2024/2025 stood at N7.4 billion, reversing the first quarter loss in last year and returning to the first quarter profit levels of two and three years ago. Operating profit rose by 68 per cent to N49.9 billion, supported by revenue growth and continuous cost optimisation.
Strong cash position of N159 billion, providing flexibility to invest in growth opportunities and navigate economic uncertainties.
Commenting on the first quarter 2024/2025 results, Boye Olusanya, Group Managing Director/Chief Executive Officer of FMN, said, “Our Q1’24/25 results demonstrate FMN’s ability to deliver solid performance despite significant headwinds. We’ve shown remarkable agility in navigating the challenging macroeconomic environment, including persistent inflation and exchange rate volatilities. Our focus on cost optimization, strategic pricing, and operational efficiencies has enabled us to maintain our market leadership in the Food and Agro-Allied sector.”
The Food and Sugar segments both witnessed strong top line growth and returned to profitability in first quarter 2024/2025 with solid improvements vs first quarter 2023/2024. Agro-Allied segment that witnessed a remarkable growth of 68 per cent was spurred by stronger performance in the fertilizer and oil and fats businesses, as well as enhanced capacity utilization.
Speaking on the Group’s financial position, Anders Kristiansson, Group Chief Finance Officer, said, “Our Q1’24/25 results reflect our commitment to creating value for our shareholders. The significant strengthening of our profitability, coupled with our strong cash position, provides us with the flexibility to invest in growth opportunities and navigate economic uncertainties. We remain focused on optimizing our capital structure and reducing funding costs to improve profitability and deliver long-term value.”
The company’s solid financial foundation, coupled with its diversified business model, provides a strong platform for sustainable growth and value creation for all stakeholders. As FMN continues to navigate the dynamic market conditions, it remains dedicated to its purpose of “Feeding And Enriching Lives, Every Day” while driving long-term shareholder value.
