Nestlé Nigeria Plc recorded a 51.5% improve in pre-tax profit to N193.88 billion for the 9 months ended September 30, 2026, in contrast with N127.96 billion within the corresponding interval of 2025, supported by stronger gross margins and decrease net finance costs.
According to the company’s unaudited 9-month financial statements filed with the Nigerian Exchange (NGX) on Thursday, October 29, 2026, income elevated by 10.4% to N976.53 billion from N884.54 billion.
Profit after tax rose by 42.6% to N103.37 billion from N72.48 billion, whereas earnings per share elevated to N130.41 from N91.44.
Nestlé Net Finance Costs fall 73%
Nestlé’s pre-tax profit grew considerably sooner than income and working profit, supported largely by a pointy discount in net finance costs.
- Net finance costs declined by 73.2% to N14.33 billion from N53.39 billion, whereas working profit elevated by 14.8% to N208.21 billion from N181.34 billion.
- Finance revenue elevated to N37.14 billion from N1.79 billion, together with N35.34 billion in net alternate positive factors from the interpretation of foreign-currency balances.
- Finance costs declined by 6.7% to N51.47 billion from N55.17 billion, additional lowering the net financing burden.
- Gross profit rose by 20.2% to N392.86 billion, lifting gross margin to 40.23% from 36.95%, as value of gross sales elevated by solely 4.7%.
- Marketing and distribution bills rose by 32.8% to N148.39 billion, whereas administrative bills elevated by 7.2% to N37.24 billion.
- Direct overheads declined by 8.1% to N144.82 billion, contributing to the advance in gross margin.
However, shopper promotional bills elevated to N60.78 billion from N37.04 billion, including to distribution-related costs. The mixed impact lifted Nestlé’s pre-tax margin to roughly 19.85% from 14.47%, whereas working margin improved to 21.32% from 20.50%.
Q3 Profit After Tax jumps 76%
Nestlé recorded stronger earnings development within the third quarter, with profit after tax growing by 76.2% to N38.60 billion from N21.91 billion within the corresponding interval of 2025.
Quarterly income elevated by 7.4% to N325.77 billion, whereas working profit rose by 31.3% to N66.85 billion from N50.90 billion.
Estimated third-quarter gross profit stood at roughly N134.35 billion, representing a gross margin of about 41.2%, in contrast with 33.6% a 12 months earlier.
Food income for the nine-month interval elevated by 5.4% to N609.37 billion, whereas its working consequence rose by 13.6% to N142.88 billion.
Beverage income elevated by 19.9% to N367.16 billion, though the phase’s working margin narrowed to roughly 17.8% from 18.2%.
Income tax expense elevated to N90.51 billion from N55.47 billion, lifting the efficient tax price to roughly 46.7% from 43.4%.
Current tax elevated to N71.35 billion from N15.82 billion, whereas deferred tax declined to N19.15 billion from N39.65 billion.
The firm said that the affect of the Nigeria Tax Act 2025, efficient January 1, 2026, was mirrored in its accounts.
In a release accompanying the results, the Managing Director and Chief Executive Officer, Wassim Elhusseini, described the outcomes as the corporate’s eighth consecutive quarter of profitability since returning to profit within the fourth quarter of 2024.
Nestlé gathered losses shrink
Nestlé’s stability sheet strengthened throughout the nine-month interval, with gathered losses declining to N9.40 billion from N112.78 billion on the finish of December 2025.
- Shareholders’ funds consequently elevated to N116.27 billion from N12.89 billion, whereas whole property rose by 13.8% to N962.73 billion.
- Cash and short-term deposits elevated by 239.9% to N120.39 billion from N35.42 billion, whereas interest-bearing borrowings declined to N426.31 billion from N476.04 billion.
- Estimated net debt fell by roughly 30.6% to N305.92 billion, reflecting larger money balances and decrease borrowings.
- Operating money circulation declined by 15.2% to N210.62 billion from N248.41 billion, regardless of larger profit, as stock absorbed N19.38 billion and tax funds elevated.
- Capital expenditure declined to N62.53 billion from N69.54 billion, whereas finance costs paid fell to N59.74 billion from N140.95 billion.
- Total liabilities elevated by 1.6% to N846.46 billion, reflecting larger commerce payables and present tax liabilities.
- Nestlé’s share value closed at N2,750 on October 29, 2026, representing a year-to-date acquire of roughly 40.5% from N1,958.
The inventory had declined from its March 31 excessive of N3,395 and remained unchanged since October 5. Investors will probably be monitoring whether or not Nestlé can maintain its improved margins with out counting on overseas alternate translation positive factors and whether or not working money circulation recovers alongside profitability.
