vPresco Plc has released its financial results for the third quarter of 2024, showcasing significant growth across key metrics. The company reported a pre-tax profit of N16.6 billion, an impressive 53.49% increase from N10.8 billion in the same quarter of 2023. This brings the cumulative pre-tax profit for the nine-month period ending September 30, 2024, to N67 billion.
Key Financial Metrics for Q3 2024:
- Revenue: N40.5 billion, up 40.82% from N28.7 billion in Q3 2023.
- Cost of Sales: N13.6 billion, a 16.18% increase year-over-year.
- Gross Profit: N26.8 billion, reflecting a 57.80% growth.
- Pre-tax Profit: N16.6 billion, up 53.49% year-over-year.
- Post-tax Profit: N12.8 billion, a 53.62% increase.
- Earnings Per Share: N12.89, compared to N8.39 in Q3 2023, marking a 53.64% rise.
- Total Assets: N207.3 billion, an increase of 21.75% from N170.3 billion the previous year.
Commentary:
The financial results demonstrate Presco Plc’s robust growth trajectory, with revenue surging 40.82% year-over-year. Despite a notable increase in the cost of sales to N13.6 billion, the gross profit experienced a substantial boost of 57.80%, indicating effective cost management and operational efficiency.
Finance costs saw a dramatic rise, nearly doubling to N4 billion, which reflects a 99.59% year-over-year increase. Conversely, finance income soared by 822.42% to N193.4 million, contributing positively to the overall financial performance.
Asset Position and Cash Flow:
As of September 30, 2024, total assets reached N207.3 billion, supported largely by property, plant, and equipment valued at N118.5 billion. Current assets, mainly trade receivables and biological assets, stood at N85.8 billion, reinforcing the company’s liquidity position.
The cash flow from operating activities surged by 94.94% year-over-year to N75.6 billion, driven by increased inflows from trade and other payables. However, investing activities consumed N22.6 billion, primarily for the acquisition of property and equipment, while financing activities resulted in a N36 billion cash outflow. Cash and cash equivalents totaled N11.4 billion at the end of the quarter.
Overall, Presco Plc’s financial report for Q3 2024 highlights its strong performance and growth potential within the sector, positioning it favorably for future developments.