Cadbury Nigeria Plc, the Mondelez International’s snack and confectionery arm in Nigeria, reported growth in net earnings by 174% to US$2.27 million during its 2018 financial year.
The confectionery and food drinks manufacturer has continued to post remarkable performance on the back of rising sales which grew 9% to US$99.22 million up from US$91.2 million posted in the previous year.
Bournvita and 3-in-1 Hot Chocolate as its flagship brands, contributed 59% of the Group sales recording 17.55% sales increase and subsequently lifting its profits from US$0.83 million recorded in 2017.
The group’s earnings also received a boost from cost management initiatives, with selling & distribution expenses dropping 10% while administrative expenses decline marginally by 1.46%.
Over the past few years, it has been struggling with challenges such as rising costs, devaluation of naira in 2016 and the ensuing environmental inflation which drove up the cost of goods.
The confectionery manufacturer and distributor said that Intermediate Cocoa Products which includes cocoa powder, cocoa butter, cocoa liquor and cocoa cake, -contributing 14% of Group sales- grew by 9% in the period.
However, the confectionery products including Tom Tom, Buttermint, Clorets and Trident which contributed 27% of the company’s sales during the period recorded a 7% decline.
The company has continued to prioritise on quality, drive improvements in productivity and reinforce operational efficiency to maximise its competitive advantage.
At the same time, the firm is set to launch new products in a bid to drive growth and increase its market share ahead of competitors, develop an organisation of high potential talent and sustain aggressive route-to-market initiatives.
Mr Ogaga Ologe new Finance Director
The company has also announced the appointment of Mr Ogaga Ologe as the new Finance Director effective 1st April 2019.
Mr Ogaga Ologe who is the current Company’s Financial Controller will take over form Mrs Adeboye, following her appointment as the new Managing Director of the firm.
He joined Cadbury Nigeria in 2012, from KPMG Professional Services where he led the audit of the financial statements for many multinationals.
He holds a Bachelor of Science honours degree in Physics from Delta State University, Abraka and is a qualified Chartered Accountant from the Institute of Chartered Accountants in Nigeria (ICAN).
Source: Food Business Africa.