PZ Cussons has reported a 39 percent increase in organic operating profit for the first quarter of the 2027 financial year, reflecting improved operating performance and stronger margins despite lower profit after tax.
The company recorded revenue of N260.46 billion during the quarter, while cost of sales stood at N45.06 billion. Gross profit increased to N19.78 billion, compared with N15.90 billion in the corresponding period.
According to the company’s unaudited financial results, operating profit rose to N8.54 billion from N5.85 billion in the corresponding period of the previous financial year, reflecting an improvement in the underlying performance of the business.
Company Secretary, Oghenekevwe Ogefere, attributed the performance to a favourable mix of volume and pricing, as well as the strength of the Group’s brands across its relevant categories.
She said the results reflected the Group’s continued focus on sustainable revenue growth, operational efficiency and strengthening the underlying performance of the business.
Profit before tax stood at N9.09 billion, while profit after tax was N4.63 billion. The company explained that the lower profit after tax compared with the corresponding period was largely due to non-recurring gains recorded in the previous year.
The Group recorded N15.74 billion in non-recurring gains in the corresponding period, compared with N0.51 billion in the current quarter.
Gross margin also improved to approximately 30.5 percent from 26.9 percent a year earlier, indicating an improvement in the company’s underlying profitability.
The company said the improved operating performance was supported by a combination of volume and pricing, while its brands continued to provide resilience across its key markets and product categories.
Ogefere said PZ Cussons remained focused on sustaining revenue growth, improving operating performance and delivering long-term value for stakeholders.
The latest performance comes as consumer-goods manufacturers continue to navigate elevated production costs, currency pressures and changing consumer purchasing patterns in the Nigerian market.
For investors, the improvement in operating profit and gross margin provides a more useful measure of the company’s underlying performance, particularly given the significant non-recurring gains that affected the previous year’s profit figures.
The company said it would continue to focus on strengthening its operations, improving efficiency and building sustainable revenue growth across its markets.