Five highlights from UAC’s nine-month financials

In nine months of 2024, UAC of Nigeria recorded a 104.5 percent surge in its after-tax profit to N13.7 billion from N6.7 billion reported in the same period of 2023.

According to the company’s financial statement, revenue rose to N133.2 billion from N81.5 billion. the revenue growth was generated from Edibles and Feed (N66.2 billion), Packaged food and beverages (N41.2 billion), Paints (23.7 billion), Quick Service Restaurants (N1.99 billion), and other revenue generated (N156.3 million).

Its gross earnings increased by 117.7 percent to N30.7 billion in nine months of 2024 from N14.1 billion while operating profit rose to N12.3 billion from N7.1 billion in nine months of 2023.

In the first half of 2024, UAC Foods Limited launched a new product ‘Gala Chin Chin’ that boosted their revenue by 127 percent to N27.8 billion.

Oluyemi Oloyede, CEO of UAC Foods said “We launched a new product as a brand extension of our 62-year-old Gala brand in August 2024, and we are very proud of the feedback that we have received from the market so far and the support from our partners – most of whom have been with us for decades.”

“As we continue to deliver these strong results in 2024, we are aware of the challenges in the business environment, but we remain confident, resilient and resolute to finish the year strong and start 2025 on a brilliant note,” he added.

The leading conglomerate operates in industries such as food and beverage, warehousing, real estate, paint, manufacturing, agriculture, services, and logistics sectors in Nigeria. Its subsidiaries are UAC Foods Limited, Mr Bigg’s, Livestock Feeds, UAC Dairies, and Chemical and Allied Products Plc.

Read also: UAC subsidiaries grow revenues by 612% on high demand

They are makers of Gala Sausage Rolls, Gala Chinchin, Kingsway Pastry Rolls, Supreme Ice Cream, Funtime Coconut Chips, and SWAN Natural Spring Water in Lagos, Abeokuta, and Ibadan, Nigeria.

Here are five major highlights from UACN’s financial report

After-tax profit surges to 104.5%

UACN’s after-tax profit grew by 104.5 percent to N13.7 billion in nine months of 2024 from N6.7 billion. Its profit before tax also surged by 73.6 percent to N20.8 billion from N9.6 billion.

Revenue increases to N133.2bn

The conglomerate’s revenue grew by 63.4 percent to N133.2 billion in nine months of 2024 from N81.5 billion on the back of revenues generated from its subsidiaries, especially Livestock Feeds and UAC Foods.

Finance cost hits 76%

The cost of financing incurred by the leading conglomerate grew by 76 percent to N4.4 billion in nine months of 2024 from N2.5 billion due to an increase in total interest on loans of N4.3 billion.

Cost of sales reaches N102.4bn

UACN’s cost of sales grew by 51.9 percent to N102.4 billion in nine months of 2024 from N67.4 billion. Selling and distribution expenses slightly grew to N7.7 billion from N6.5 billion while Administrative expenses rose to N12.1 billion from N7.6 billion.

FX gain accelerates to 218.7% on weak naira

UACN’s foreign exchange gain rose to N10.2 billion in nine months of 2024 from N3.2 billion as the fluctuation of the foreign exchange rate in Nigeria favored the conglomerate in 2024.