For the business year ended December 31, 2022, FrieslandCampina WAMCO Nigeria PLC grew its revenue by 21 percent in 2022 amid economic headwinds.
The company’s turnover increased to N324.7 billion in 2022, up 21 percent from N268.4 billion in 2021.
Despite slow economic growth, growing unemployment, poor access to funding for businesses, a declining standard of living among households amid accelerating inflation, the company recorded a profit before tax of N13.5 billion in 2022 as against N12.7 billion in 2021. Indicating a six percent increase.
“To mitigate the extremely difficult global economic challenges coupled with unprecedented inflationary pressures witnessed in 2022, we up-scaled our commercial execution with relentless focus on revenue growth management and redistribution initiatives to stay agile and competitive,” said Ben Langat, managing director, FrieslandCampina WAMCO Nigeria PLC.
The dairy organization and maker of Peak, Three Crowns, Coast, Olympic, and Nunu milk brands, recorded a growth in net sales due to a focus on revenue growth management. However, there was a drop in volume which was mainly a result of high inflation and a reduction in the overall consumer purchasing power.
Langat said, “Asides from the aforementioned metrics, I am proud of several achievements in the year under review that supported our stability and performance. These include but are not limited to the launch of Peak Yoghurt 1L pack and successful brand activations like the annual Three Crowns Mum of the Year campaign.
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“We also introduced Nunu yoghurt, Nigeria’s first drinking yoghurt made from 100 percent locally sourced milk and produced in a unique mobile factory. This is yet another success recorded in the actualization of our sustainability and backward integration plans in support of the dairy development policy of the Federal Government of Nigeria.
“Several awards and recognitions were also received for the company’s excellence in marketing, safety, quality, and manufacturing. These external (and global) recognitions are a validation of our operational excellence and continuous improvement culture in the face of the tough business climate.
“We will continue to innovate and drive accessibility to our portfolio by incorporating more local content to drive more competitiveness in the market. We remain committed to delivering quality, affordable and accessible nutrition to millions of Nigerian homes and to building a more productive and sustainable future in Nigeria,” Langat added.
According to Moyo Ajekigbe, chairman board of directors, “The success achieved in 2022 was the result of concerted efforts from various stakeholders. In accordance with the company’s dividend policy, the board of directors proposed a total dividend payout of N2.93 per share.”
On outlook, FrieslandCampina WAMCO noted that, “the board and management remain confident about the future of Nigeria and will continue to invest in the country.”