May & Baker Posts Profit Growth of 215% in Six Months

May & Baker Nigeria Plc has announced a profit before tax (PBT) of N139.5 million for the half year ended June 30, 2017, representing an increase of 215 per cent above the N44.2 million recorded in the corresponding period of 2016.

The company said it recorded revenue of N4.5billion in 2017. This showed an increase of 20.6 per cent from N3.7 billion posted in the previous year.

According to the trading figure released to the Nigerian Stock Exchange (NSE), the operating expenses for distribution, sales and marketing grew by 17.9 per cent from N510.838 million in 2016 to N602.5 million in 2017.

However, the 2017 administrative cost was pruned to N298.8 million against N309.5 million previous year, posting a three per cent decrease. Accordingly, the earnings per share which trended at 3.07kobo in June 2016 jumped to 9.68kobo 12 months after, showing an impressive 215 per cent growth.

Commenting on the results, the Managing Director/Chief Executive Officer of May & Baker, Nnamdi Okafor, expressed optimism despite some environmental challenges. He said: “May & Baker is determined to improve on her performance, year-on-year so as to consolidate her leading position in the competitive pharma manufacturing sector. We also will continue to create more wealth and value for our stakeholders.”

However, Okafor highlighted some challenges the company is facing. “Our everyday operations are curtailed by some encumbrances such as power, steep taxation system, port congestion and other macroeconomic challenges. I am optimistic that our numbers would become more appealing as the socio-economic environment shows steady improvement this year,” he said.

Chairman of May & Baker, Lt. General TheophilusDanjuma (rtd) had told shareholders at the annual general meeting (AGM) that the company was already looking forward to a more efficient and impressive performance in 2017.

According to him, some of the key steps being taken to actualize the improved performance are: process re-engineering and business restructuring.

He said the board had mandated the management to review all business units and undertakings of the company with a view to pruning all non-performing and non-profitable ventures. He assured stakeholders that the future outlook of the company is bright as it plans to consolidate on its great pedigree as the leading pharmaceutical company in Nigeria to conquer the sub-Saharan African market.

He said the company plans to acquire new competencies in new business areas, expand product portfolio and deepen its market beyond the country.

Source: Thisday