{"id":3998,"date":"2026-10-30T07:46:44","date_gmt":"2026-10-30T07:46:44","guid":{"rendered":"https:\/\/globalnigerianews.com\/index.php\/2026\/10\/30\/cadbury-nigeria-records-n14-48-billion-pre-tax-profit-as-revenue-hits-n126-69-billion-in-nine-months\/"},"modified":"2026-10-30T07:46:44","modified_gmt":"2026-10-30T07:46:44","slug":"cadbury-nigeria-records-n14-48-billion-pre-tax-profit-as-revenue-hits-n126-69-billion-in-nine-months","status":"publish","type":"post","link":"https:\/\/globalnigerianews.com\/index.php\/2026\/10\/30\/cadbury-nigeria-records-n14-48-billion-pre-tax-profit-as-revenue-hits-n126-69-billion-in-nine-months\/","title":{"rendered":"Cadbury Nigeria records N14.48 billion pre-tax profit as revenue hits N126.69 billion in nine months"},"content":{"rendered":"<p>Cadbury Nigeria Plc recorded a 4.75% increase in pre-tax profit to N14.48 billion for the nine months ended September 30, 2026, compared with N13.82 billion in the corresponding period of 2025.<\/p>\n<p>According to the <a href=\"https:\/\/doclib.ngxgroup.com\/Financial_NewsDocs\/48237_CADBURY_NIGERIA_PLC.-_QUARTER_3_-_FINANCIAL_STATEMENT_FOR_2026_FINANCIAL_STATEMENTS_OCTOBER_2026.pdf\">company\u2019s unaudited third-quarter financial statements filed with the Nigerian Exchange<\/a> (NGX) on Thursday, October 29, revenue increased by 6.24% to N126.69 billion from N119.25 billion.<\/p>\n<p>Profit after tax rose by 4.75% to N10.14 billion from N9.68 billion, while earnings per share increased to N4.45 from N4.24, supported by stronger gross margins and lower finance costs.<\/p>\n<h4><strong>Cadbury Gross Profit rises 31.6%<\/strong><\/h4>\n<p>Cadbury\u2019s gross profit increased by 31.55% to N36.50 billion from N27.75 billion, reflecting improved profitability after production costs.<\/p>\n<ul>\n<li>Cost of sales declined by approximately 1.4% despite higher revenue, lifting gross margin to 28.8% from 23.3% in the corresponding period of 2025.<\/li>\n<li>Operating profit declined by 10.01% to N14.31 billion from N15.90 billion, despite the increase in gross profit.<\/li>\n<li>Selling and distribution expenses more than doubled to N20.05 billion, limiting the benefit of lower production costs.<\/li>\n<li>Administrative expenses and other operating costs also weighed on operating performance during the period.<\/li>\n<li>Lower finance costs helped support the increase in pre-tax profit despite the decline in operating earnings.<\/li>\n<li>The improvement in gross margin indicates that Cadbury generated more profit from its revenue after accounting for production costs.<\/li>\n<\/ul>\n<p>However, the increase in selling and distribution expenses prevented the stronger gross profit from translating into higher operating profit.<\/p>\n<p>The company also recorded a significant improvement in third-quarter earnings, returning to positive operating and pre-tax profit after reporting losses in the corresponding period of 2025.<\/p>\n<h4><strong>Cadbury exports more than double<\/strong><\/h4>\n<p>Cadbury\u2019s export revenue increased by approximately 106.1% to N10.40 billion from N5.05 billion, making international sales an increasingly important contributor to revenue growth.<\/p>\n<ul>\n<li>Domestic sales increased by approximately 1.8% to N116.29 billion from N114.20 billion, with Nigeria remaining the company\u2019s largest market.<\/li>\n<li>Exports accounted for approximately 8.2% of total revenue, compared with 4.2% in the corresponding period of 2025.<\/li>\n<li>Export sales contributed roughly 72% of the company\u2019s total revenue increase of N7.44 billion during the nine-month period.<\/li>\n<li>Third-quarter revenue increased by approximately 3.2%, while cost of sales declined by 14.3%, supporting stronger gross profitability.<\/li>\n<li>Third-quarter operating profit recovered to N2.54 billion from a loss of N374 million, while pre-tax profit improved to N2.90 billion from a loss of N709 million.<\/li>\n<li>The quarterly turnaround reflects a notable improvement in earnings compared with the corresponding period of 2025.<\/li>\n<\/ul>\n<p>In a statement accompanying the results, the <a href=\"https:\/\/nairametrics.com\/2026\/05\/13\/cadbury-nigeria-announces-ayman-gaafar-as-new-managing-director\/\">newly appointed Managing Director<\/a>, Ayman Fahmy Gaafar, attributed the performance to operational improvements and said the company would continue strengthening its capabilities, cost management and innovation.<\/p>\n<p>To further strengthen its board, <a href=\"https:\/\/nairametrics.com\/2026\/03\/29\/cadbury-nigeria-appoints-dr-salami-hisham-ezz-el-arab-to-board\/\">Cadbury recently announced the appointment of Dr. Doyin Salami<\/a> as chairman following the resignation of Adedotun Sulaiman, alongside Uwa Osa-Oboh\u2019s appointment as an independent non-executive director.<\/p>\n<h4><strong>Cadbury borrowings decline 35%<\/strong><\/h4>\n<p>Cadbury\u2019s balance sheet strengthened during the nine-month period, with total assets increasing by 5.95% to N79.84 billion from N75.36 billion at the end of December 2025.<\/p>\n<ul>\n<li>Total liabilities declined by 9.13% to N56.29 billion, while shareholders\u2019 funds increased by 75.55% to N23.56 billion from N13.42 billion.<\/li>\n<li>Borrowings declined by approximately 35% to N14.90 billion from N22.81 billion, reducing the company\u2019s outstanding debt.<\/li>\n<li>Accumulated losses narrowed to N18.19 billion from N28.33 billion, although retained earnings remained negative at the end of September.<\/li>\n<li>Cash and cash equivalents declined by 28.96% to N10.67 billion from N15.02 billion, while operating cash flow fell by approximately 51%.<\/li>\n<li>Inventory increased by almost 35%, while capital expenditure declined to N2.12 billion from N5.30 billion in the corresponding period of 2025.<\/li>\n<li>The decline in operating cash flow contrasts with the improvement in reported profitability, highlighting the importance of cash generation in sustaining the company\u2019s recovery.<\/li>\n<\/ul>\n<p>Cadbury shares closed at N57 on October 29, 2026, compared with N59.90 at the beginning of the year, representing a year-to-date decline of approximately 4.84%.<\/p>\n<p>Investors will be monitoring whether the company can maintain stronger gross margins, manage distribution expenses, and improve operating cash flow as export sales expand.<\/p>\n<p>Source: <\/p>\n<div class=\"nSourse\">Nairametrics<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Cadbury Nigeria Plc recorded a 4.75% increase in pre-tax profit to N14.48 billion for the nine months ended September 30, 2026, compared with N13.82 billion in the corresponding period of&hellip; 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