• Monday, March 04, 2024
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PZ Cussons driven by all-round efficiency


PZ Cussons is the global manufacturer and distributor of well-known brands such as Imperial Leather, Morning Fresh and Cussons Baby, among others. The firm operates in five categories, including personal care, home care, beauty, food and nutrition and electrical, among others.

The company’s financial statement released to the Nigerian Stock Exchange (NSE) in November 2013, proves to industry analysts that it thrives on all-round efficiency, led by management that drives down cost amid fierce market challenges.

Revenue or sales of the firm rose by 4.70 percent, increasing to N32.46 billion in 2013, from N31 billion recorded in the corresponding period of 2012. This is an indication that the market is highly competitive and fragmented.

Despite 4.70 percent revenue rise, the cost of sales only increased by 0.74 percent to N23.5 billion in 2013, from N23.34 billion in 2012. Distribution expenses rose from N5.66 billion obtained by November 2012, to N6.12 billion in the corresponding period of 2013.

Financial charges, that is, net financial cost had 376.56 percent increase from what was obtained in 2012, having risen from N80.86 million to N223.6 million in 2013. Incidentally, other income reduced by 17.66 percent, to N66.8 million in 2013, from N81.1 million recorded in 2012.

Pre-tax profits rose 53.08 percent to N3.077 billion in 2013, from N2.010 billion recorded in the period of 2012. There was, however, obvious increase in taxation, as it rose by 53.61 percent, to N759.24 million in 2013, from N494.27 million in 2012.

Irrespective of increased taxation and only 4.70 percent revenue difference between 2012 and 2013, profit after tax rose 52.90 percent to N2.32 billion in 2013, from N1.52 billion in 2012. This also represents total comprehensive income of the firm.

Profit after tax for owners of the company in 2013 amounted to N2.1 billion, from N1.4 billion recorded in 2012. This represents 51.20 percent rise. Profit after tax attributed to non-controlling interest in 2013 was N214.5 million, from N124.78 million obtained in 2012. This signifies 71.92 percent increase.

What was attributable to owners of the company in 2013 was N2.1 billion, from N1.4 billion recorded in 2012, representing 51.2 percent change. Basic earnings per share as of 2013 was N58, 243.39 percent difference from N17 recorded in the same period of 2012.


This suggests that PZ Cussons is making impactful efforts to eliminate wastage and reduce high costs. The firm is efficiently run, but there is still need to make efforts through innovations, to vigorously increase sales. The market is competitive and PZ Cussons needs to become a leader by exploring new avenues and market strategies to expand patronage.