Dangote Flour Declares N1.2bn Loss as EPS Drops to -N22.87k

By Dipo Olowookere

Dangote Flour Plc, one of the companies owned by Africa’s richest man, Mr Aliko Dangote, has declared a loss after tax of N1.2 billion for the year ended December 31, 2018.

Over the weekend, the flour miller released its earnings for the year under consideration and the numbers were not encouraging.

A brief analysis of the accounts by Business Post showed a decline in revenue to N112.3 billion from N124.7 billion, with the cost of sales rising to N102.3 billion from N95.1 billion in 2017.

The gross profit, according to the company, dropped to N10.2 billion from N29.6 billion, while the operating profit fell to N398.3 million from N16.5 billion.

However, the other income increased to N2.3 billion from N1.1 billion, while the distribution and administrative expenses reduced to N12.6 billion from N14 billion.

For the finance income, it depreciated to NN2 billion from N3.2 billion, while the finance costs rose to N3.6 billion from N2.8 billion.

In the year, Dangote Flour declared a loss before tax of N1.2 billion against a profit before tax of N16.8 billion in 2017 and a loss after tax of N1.2 billion versus N15.1 billion profit after tax a year earlier, with an earnings per share of -N22.87k versus N186.14k in 2017.