Unilever Nigeria Plc Reports Strong H1 2026 Financial Performance
Unilever Nigeria Plc has announced a pre-tax profit of N29.2 billion for the first half of 2026, representing a 45% increase compared to the N20.1 billion recorded in the same period last year. The company also declared an interim dividend of N2.00 per share, payable to shareholders on the register as of August 10, 2026.
Revenue Growth Drives Profitability
The strong profit performance was driven by a 38% rise in revenue to N98.5 billion, up from N71.4 billion in H1 2025. The growth was attributed to increased sales volumes across key categories, including home care, personal care, and foods, as well as effective pricing strategies. Cost of sales grew at a slower pace of 32% to N58.2 billion, resulting in an improved gross margin of 40.9% compared to 38.2% in the prior year.
Operating Expenses and Other Income
Marketing and distribution expenses increased by 25% to N12.1 billion, while administrative expenses rose 18% to N6.8 billion. The company also recorded other income of N1.2 billion, up from N800 million in H1 2025, mainly from foreign exchange gains. Net finance costs declined by 15% to N1.5 billion, reflecting lower borrowing costs and improved cash management.
Interim Dividend Declaration
Unilever Nigeria's Board of Directors approved an interim dividend of N2.00 per share, totaling N11.5 billion, based on the company's issued share capital of 5.75 billion shares. The dividend will be paid on September 5, 2026, to shareholders whose names appear on the register as of August 10, 2026. The ex-dividend date is August 8, 2026.
Balance Sheet Highlights
As of June 30, 2026, Unilever Nigeria reported total assets of N142.3 billion, up from N128.7 billion at year-end 2025. Total liabilities stood at N68.1 billion, while shareholders' funds increased to N74.2 billion. The company maintained a healthy liquidity position with cash and cash equivalents of N15.6 billion, compared to N12.3 billion at the end of 2025.
Outlook and Strategic Focus
Commenting on the results, Unilever Nigeria's Managing Director, Mr. John Okafor, said: "Our strong first-half performance reflects the resilience of our business model and the dedication of our team. We continue to invest in our brands, innovation, and route-to-market capabilities to drive sustainable growth. Despite the challenging macroeconomic environment, we remain confident in our ability to deliver value to our shareholders." The company expects to maintain its growth trajectory in the second half of the year, focusing on cost optimization and portfolio premiumization.
