PZ Cussons Nigeria Plc has released its full-year results for the fiscal year 2026, reporting a revenue of N260.46 billion. This represents a 12% increase compared to the N232.55 billion recorded in the previous fiscal year, driven by strategic price adjustments and product innovation amidst a challenging macroeconomic environment.
Revenue Growth and Key Drivers
The company attributed the revenue growth to improved volume recovery and pricing strategies across its key segments, including home care, personal care, and nutrition. In a statement, the Managing Director, Mr. Olusegun Adebayo, said: “Our focus on cost optimization and product portfolio enhancement has enabled us to deliver resilient performance despite inflationary pressures and currency volatility.” The home care segment contributed the largest share, accounting for 45% of total revenue, followed by personal care at 35% and nutrition at 20%.
Profitability and Cost Management
Despite the revenue increase, profit after tax declined by 8% to N18.2 billion from N19.8 billion in the prior year, due to higher input costs and foreign exchange losses. The company reported a gross profit margin of 34%, down from 36% in FY2025, as cost of sales rose to N171.9 billion. Operating expenses increased by 10% to N58.3 billion, driven by logistics and distribution costs. However, the company implemented efficiency measures that reduced administrative expenses by 3%.
Segment Performance
The home care segment, which includes brands like Morning Fresh and Zip, generated N117.2 billion in revenue, up 14% year-on-year. The personal care segment, featuring brands such as Imperial Leather and Carex, recorded N91.2 billion, a 10% increase. The nutrition segment, led by Nutricima, grew by 11% to N52.1 billion. The company noted that new product launches and expanded distribution networks supported growth in all segments.
Balance Sheet and Cash Flow
Total assets stood at N195.4 billion as of May 31, 2026, compared to N178.6 billion in the prior year. Cash and cash equivalents increased to N22.3 billion from N18.1 billion, reflecting improved working capital management. Total liabilities rose to N112.7 billion, primarily due to increased trade payables and short-term borrowings. The company’s net debt position improved slightly to N45.6 billion from N48.2 billion.
Outlook and Strategic Priorities
Looking ahead, PZ Cussons expects continued challenges from foreign exchange scarcity and rising inflation, but remains optimistic about volume recovery and market share gains. The company plans to intensify its focus on digital transformation, cost efficiency, and sustainable sourcing. “We are committed to delivering long-term value to shareholders by navigating the current headwinds and capitalizing on growth opportunities in Nigeria’s consumer market,” Adebayo added. The board has proposed a final dividend of N1.50 per share, subject to shareholder approval.
