GlaxoSmithKline Consumer Nigeria Plc Posts 18.14% Pre-Tax Profit Growth in Q2 2023 Amidst Revenue Challenges. (nairametrics.com)

GlaxoSmithKline Consumer Nigeria Plc reported its 2023 second-quarter results showing pre-tax profits grew by 18.14% year on year, reaching N274 million.

This took half-year pre-tax profits to N504 million versus N518 million in the same period last year.

Key highlights Q2 2023 vs Q2 2022

• Revenue N3.732 billion -49.92% YoY
• Cost of sales N2.418 billion -57.32% YoY
• Gross Profit N1.314 billion -26.43% YoY
• Administrative expenses N497 million +9.66% YoY
• Selling and Distribution expenses N693 million -36.92% YoY
• Operating profit N123 million -47.10% YoY
• Finance Income N192 million +943.34% YoY
• Profit for the year N185 million +19.08% YoY
• Earnings per share 15 kobo +15.38% YoY
• Cash and cash equivalent N23.215 billion +16.21%.
• Total Assets N30.268 billion +3.00%

Insights: Despite the challenging environment evidenced by the drop in revenue, the company succeeded in expanding its profits. This positive outcome was primarily driven by the decline in operational costs and an increase in finance income.