Triple Gee & Company Plc, a printing, and packaging company reported a 178 percent increase in its profit after tax deductions to N101 million in the nine-month period that ended 31st December 2022 as against N36 million in the same period of 2021, the highest it has reported in 10 years.
Its revenue also grew by 115 percent to N2.19 billion in the nine-month period of 2022 from N1.02 billion in the nine-month period of 2021.
Printing services, being the major driver for the boost seen in revenue grew by 740 percent during the period to N1.19 billion from N141.69 million in the nine-month period of 2021.
As a result of the rising cost of raw materials, the cost of sales reported by the company increased by 168 percent to N1.67 billion in the nine-month period of 2022 from N624 million in the corresponding period of 2021.
Despite the cost of sales claiming 61 percent of the firm’s total revenue, the profit margin grew by 105 basis points to 4.61 percent, up from 3.56 percent in the same period of 2021.
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Distribution and administrative expenses grew marginally by 3 percent to N332 million in the nine-month period of 2022 from N322 million in the nine-month period of 2021.
Other income reported by the printing company declined by 41 percent to N673 thousand in the nine-month period of 2022 from N1.14 million in the corresponding period of 2021.
Furthermore, on the back of a high-interest rate environment brought on by the hawkish stance of the Central Bank of Nigeria, Triple Gee & Company reported a 124 percent surge in finance costs to N52 million in the nine-month period of 2022 from N23 million in the corresponding period of 2021.
Tripple Gee & Company grew its total assets by 40.97 percent in the nine-month period of 2022 to N5.57 billion from N3.95 billion in the nine-month period of 2021, and in the same vein, shareholders’ equity grew by 10.62 percent to N1.28 billion in the nine-month period of 2022 from N1.16 billion in the same period of 2021.
The value of its cash and cash equivalents, however, declined by 64.75 percent to N4.90 million in the nine-month period of 2022 from N13.94 million in the nine-month period of 2021.
Net cash flow from operations for the period was negative, amounting to N820 million, indicating that the company is not generating enough cash from its core business activities, and is, therefore, unable to cover its short-term obligations.
Net cash flow from investing activities was also negative, amounting to N458 million in the nine-month period of 2022, a further dip from N-93.6 million in the corresponding period of 2021, while it reported a positive net cash flow from the financing activities of N1.27 billion, up 85.73 percent from N686 million in the same period of 2021.
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