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By Merit Ibe
Flour Mills of Nigeria Plc (FMN), a key player in Nigeria’s food and agro-allied sectors, has announced its financial performance for the fiscal year 2022/2023, highlighting its unwavering commitment to local content and capacity development.
The key highlights are achievement of solid top line growth of 32 percent in FY22/23 across food, agro-allied and support segments, showcasing its unwavering market leadership.
“Gross profit improved by 64 percent, reaching N177.1 billion. Honeywell came out of the integration phase and delivered a solid profit in Q4. The overall profit after tax increased by five percent to 29.5b with earnings per share growing by 16 percent to N7.25 per share.
“Agro-allied segment delivered exceptional performance, with 51 percent and 58 percent revenue and profit before tax growth for the fertilizer business, respectively. Oil and fats business achieved a substantial 38 percent revenue growth through improved export operations and equipment optimisation.
“Sugar segment returned to profitability, marking a remarkable 34 per cent revenue growth driven by local sunti sugar and brand loyalty. Strong focus on operational efficiency, supply chain optimisation and cost management,” the company said.
FMN’s strategic growth oppourtunities, including the Honeywell Flour Mills Plc acquisition, highlight its determination to create value for shareholders.
On its Operational Review, FMN’s consistent commitment to operational excellence paid off as indicated by a 64 percent increase in gross profit, which reached N177.1 billion. Despite substantial hurdles such as rising international food prices and currency depreciation.
tion,.FMN’s adaptable approach enabled it to prosper.
Notably, the Agro-Allied section experienced remarkable growth, with revenue and Profit Before Tax increasing by 51 per cent and 58 per cent, respectively, in the fertilizer industry. The Animal Feeds and Oil & Fats businesses grew by 14 per cent and 38 per cent, respectively, thanks to strategic expansion, collaborations, and cost savings. FMN’s overall impact was strengthened by the Sugar Segment’s successful return to profitability, which was marked by a 34 per cent revenue increase.
Commenting, the Group Managing Director/CEO, Mr. Boye Olusanya said: ”FY 22/23 has been a year of agile business strategy implementation. Our ability to proactively manage both existing and emerging environmental challenges whilst progressively driving significant development across all our touch points is a testament to the Group’s commitment towards the actualisation of self-sufficiency in the country and across the continent. Market impediments such as rising international food prices, input cost escalations and currency devaluation, were effectively managed, thus the group’s ability to achieve strong financial performance in FY22/23. “As we continue to act as a source of livelihood for millions of Nigerian families, we would remain committed to significantly investing across our value chain to reduce the nation’s dependency on imported raw materials and externally generated resources.”
