UAC of Nigeria Plc (NGX: UACN) posted an impressive revenue of ₦110.41 billion in the first half of 2025 ended 30 June 2025 32.6% up from ₦83.25 billion in the corresponding period of 2024.
This growth was driven largely by increased sales across its business segments, particularly in Edibles & Feed and Packaged Food & Beverages.
The gross profit surged to ₦28.26 billion, compared to ₦18.71 billion in H1 2024.
However, the gains were partially offset by increased administrative expenses, which rose to ₦9.99 billion from ₦7.70 billion in the prior year, largely due to higher personnel and operational costs.
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Similarly, finance costs also climbed to ₦6.18 billion, compared to ₦2.85 billion in H1 2024 while finance income declined substantially to ₦2.56 billion from ₦10.66 billion, resulting in a net finance cost of ₦3.62 billion, a sharp reversal from the net finance income of ₦7.82 billion recorded in the same period last year.
Consequently, the profit after tax declined by 22.9% to ₦7.36 billion, down from ₦9.54 billion in H1 2024. The earnings per share for the period was 238 Kobo, down from 304 Kobo a year earlier.
On the balance sheet, UAC maintained a healthy financial position with total assets of ₦161.49 billion – with N55.64 non-current assets and N105.83 billion current assets. The total assets is up from ₦157.73 billion at year-end 2024.
Major Components of Assets
- Cash and Cash Equivalents: ₦46.81 billion
- Inventories: ₦48.84 billion
- Property, Plant and Equipment: ₦28.51 billion
- Investments in Associates: ₦12.56 billion
- Trade and Other Receivables (current): ₦10.18 billion
Total liabilities stood at ₦88.73 billion out of which N22.24 billion is non-current liabilities and N66.49 billion current liabilities. The total liabilities slightly declined from ₦91.32 billion in December 2024.
Major components of liabilities
- Currrent borrowing: ₦30.31 billion
- Non-Borrowings: ₦13.04 billion
- Trade and Other Payables: ₦18.91 billion
- Current Income Tax Liabilities: ₦7.19 billion
- Deferred Tax Liabilities: ₦6.53 billion
In terms of liquidity, the company generated net cash flows from operating activities of ₦10.84 billion. Overall, the net increase in cash and cash equivalents was ₦6.26 billion, bringing the closing cash balance to ₦46.81 billion as of June 30, 2025.
UAC of Nigeria Plc’s share price rose 10% on Thursday to close at N80.30 per share on the Nigerian Exchange.
Commenting on the results, Group Managing Director, Fola Aiyesimoju, stated: “In Q2 2025, macroeconomic indicators improved supported by the ongoing implementation of reforms. The foreign exchange market was stable, and inflation moderated. Against this backdrop, UAC delivered strong results. Revenue and operating profit increased 27% and 77% respectively. Underlying profit before tax increased 146%, reflecting gross margin expansion across our core businesses, operational efficiency and improved results from our associate companies, which more than offset higher finance costs in the period. Looking ahead, we will continue to execute our growth and value creation strategy with discipline and a longterm focus.”
About UAC
UAC of Nigeria PLC (UAC) is a holding company with subsidiary and associate companies operating in the Edibles and Feed; Paints; Packaged Food and Beverages; Quick Service Restaurants; Logistics and Real Estate segments. UAC has played a prominent role in Nigeria’s development for over a century. The company is focused on building its businesses into leaders in their chosen segments.
UAC has four operating platforms
Edibles and Feed Grand Cereals Limited (71.4% ownership) – a leading producer of cereals, edible oils, poultry feed, fish feed, ruminant feed and dog food. The company has production and distribution facilities in Northern and South Eastern Nigeria. It owns a portfolio of strong brands including Grand, Vital, and BestMate.
Livestock Feeds PLC (73.3% ownership) – produces and distributes poultry feed, feed concentrates and full fat soya. The company recently expanded its offering to include veterinary drugs. Livestock Feeds’ geographic strength is in South West Nigeria. The company is listed on The Nigerian Exchange (“NGX”).
Chemical and Allied Products PLC (57.9% ownership) – the leading paints and coatings company in Nigeria with a diversified product range spanning decorative and marine segments. CAP PLC is the sole technology licensee for AkzoNobel’s decorative range in Nigeria and is also a distributor for Hempel’s industrial products. The company’s brand portfolio is comprised of Dulux, Sandtex, Caplux, and Hempel. The company benefits from a unique distribution model – franchised retail outlets, which it pioneered in Nigeria’s paint industry. CAP PLC is listed on NGX.
UAC Foods Limited (99.96% ownership) – a leading player in the packaged food and beverages industry with three distinct business segments – snacks, ice-cream, and spring water. It owns iconic brands such as Gala, SWAN Spring Water, Supreme and Funtime.
UAC Restaurants Limited (51% ownership) – a joint venture with Famous Brands, manages the network of Quick Service Restaurants across Nigeria under the Mr Bigg’s and Debonairs Pizza brands.
MDS Logistics Limited (43% ownership) – a leading logistics provider in Nigeria, offers the complete suite of outbound
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.
