Chemical and Allied Products Plc, Nigeria’s leading paints and coatings company, reports a 42% jump in profit after tax to N1.2 billion in the first half (H1) of the year.
In the unaudited financial statement obtained by Investors King, the leading paints company grew revenue from N8.7 billion reported in the first half of 2022 to N9.8 billion in the period under review.
Gross margin stood at 37%, lower by 3.0 percentage points on account of higher raw material and distribution costs.
Operating profit dipped by 6% year-on-year to N1.2 billion with operating margin contracting by 2.4 percentage points to 13%.
Profit before tax of N1.9 billion, up 44% from N1.3 billion filed in the corresponding period of 2022.
Commenting on the results, Managing Director, Bolarin Okunowo, said“We are delighted with our strong recovery in Q2 as election-related uncertainties eased. Given our strong performance in the second quarter, we recorded meaningful revenue growth of 12% and a 42% increase in profit after tax in H1 2023.
We are encouraged by the strength and resilience of our financial results, despite the challenging macroeconomic environment. Whilst we expect that the impact of recent policy changes on our operating environment will continue into the second half of the year, we believe that we are well positioned for growth, with the ability to meet the evolving needs of our customers”.