May & Baker eyes N20bn revenue in 2023

Patrick Ajah, managing director and CEO of May & Baker Nigeria has said the company aims to achieve a revenue target of N20 billion in 2023.

“To give ourselves a greater chance of meeting this target, we recently made some changes in our field management structure to ensure a better focus of our national and district sales managers, and I am sure we have already started seeing the difference,” Ajah said in his welcome address at the company’s 2023 customers’ forum.

He stated that 2022 was yet another tough year for business. “Just as the world was trying to recover from the impact of COVID-19, the Russian invasion of Ukraine brought another major disruption to global business.”

BusinessDay’s findings showed May & Baker’s profit from continuing operations amounted to N1.49 billion in the full year of 2022, a 42 percent increase from N1.05 billion in a similar period of 2021.

The company recorded a revenue increase of 20.4 percent to N14.33 billion in the full year of 2022 from N11.9 billion in the full year of 2021.

The group’s total revenue of N14.33 comprises sale of pharmaceutical goods worth N14.3 billion and N26.54 million worth of beverages sold in 2022.

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May & Baker’s cost of sales increased to N10.45 billion in the full year of 2022, 45 percent growth from N7.2 billion in the full year of 2021.

The company’s cost of sales gulped 73 percent of the total revenue in 2022 while cost of sales gulped 61 percent of the total revenue in 2021.

“All these challenges from global supply disruptions obviously made it difficult for us to deliver our budget as projected,” Ajah said.

“We closed the 2022 business year at 86 percent of budget but were able to grow at 20 percent over the previous year. This was not a bad result given the challenges already enumerated.”

Ajah added, “We have also made some investments in acquiring new machines and machine parts to beef up our capacity to produce more to meet the growing needs of our products in the marketplace.

“We are also in the process of launching some new products to further enrich our portfolio. These and many more I believe will help us serve you better this year and thus help us achieve this year’s target,” he said.