FTN Cocoa Processors Plc has launched its 2025 monetary statements, recording a pointy building up in earnings for the 12 months ended December 31, 2025, with gross sales emerging 310.5% to N5.65 billion from N1.38 billion in 2024.
On the other hand, the more potent best line didn’t translate right into a go back to profitability, as the corporate reported a loss sooner than tax of N273.40 million, even if this used to be considerably less than the N10.62 billion loss recorded within the earlier 12 months.
The effects display that prime manufacturing prices, low manufacturing unit utilisation and finance bills persevered to weigh profitability, whilst a foreign currencies acquire helped cushion the entire loss.
Key Highlights
- Earnings: N5.65 billion (Up 310.5% YoY from N1.38 billion)
- Gross benefit: Gross lack of N685.92 million, when compared with a gross benefit of N839.22 million in 2024.
- Working benefit: N304.72 million, when compared with an working lack of N10.31 billion in 2024.
- Pre-tax benefit: Lack of N273.40 million, when compared with a lack of N10.62 billion in 2024.
- Benefit after tax: Lack of N273.40 million, when compared with a lack of N9.53 billion in 2024.
- Profits in keeping with percentage: Loss in keeping with percentage of N0.07, when compared with a loss in keeping with percentage of N2.44 in 2024.
Riding the numbers
The principle spotlight of FTN Cocoa’s 2025 effects used to be the pointy building up in earnings, which rose through roughly N4.27 billion year-on-year.
Export gross sales of cocoa butter contributed N3.54 billion, whilst native gross sales generated N2.10 billion, in large part from cocoa powder, which accounted for N2.10 billion.
- The corporate additionally recorded N2.08 million in native cocoa butter gross sales. This represented an important alternate from 2024, when export cocoa butter gross sales accounted for the majority reported earnings and native gross sales had been minimum.
- Regardless of the development in gross sales, the corporate’s price construction remained a significant constraint. Value of gross sales rose to N6.33 billion from N536.59 million in 2024, exceeding earnings and leading to a gross lack of N685.92 million.
- The monetary statements characteristic the drive on gross margin in part to low manufacturing capability utilisation, with the corporate generating under 5% of capability on account of chronic operating capital constraints. This left the trade sporting really extensive mounted manufacturing prices in opposition to a fairly low degree of output.
- The vulnerable gross margin intended that the corporate may now not generate sufficient make the most of its core operations to hide different bills. Promoting and distribution prices rose to N116.58 million from N17.42 million, whilst working bills greater to N847.92 million from N409.56 million.
On the other hand, different working source of revenue and, specifically, a foreign currencies acquire helped fortify the reported working consequence.
FTN Cocoa recorded a foreign currencies acquire of N1.84 billion in 2025, when compared with a foreign currencies lack of N11.68 billion within the earlier 12 months. This swing used to be a significant contributor to the development in working efficiency, serving to the corporate transfer from an working lack of N10.31 billion to an working benefit of N304.72 million.
The advance must subsequently be seen in context: the corporate remained loss-making sooner than tax, and the reported turnaround used to be considerably supported through exchange-rate actions fairly than a favorable gross margin.
- Finance prices additionally greater to N578.12 million from N307.22 million, additional decreasing the good thing about the working growth. The corporate reported passion bills on borrowings and its company bond, reflecting the price of financing its operations. Because of this, the working benefit used to be now not enough to ship a favorable pre-tax consequence.
- The stability sheet presentations the drive related to investment the trade. Overall belongings greater to N24.14 billion, whilst overall liabilities rose to N23.71 billion. Borrowings accounted for N23.21 billion of liabilities, together with a N5 billion mortgage bought from the Nigerian Export-Import Financial institution at an annual rate of interest of 9%.
- In step with the monetary statements, this mortgage used to be used to acquire cocoa beans for processing into cocoa butter, cocoa cake and cocoa powder for export.
- The corporate’s money place advanced to N622.21 million from N76.39 million, together with a N500 million momentary deposit. On the other hand, working actions fed on N3.85 billion in money all over the 12 months, when compared with an outflow of N2.28 billion in 2024. The money outflow used to be pushed partly through an building up in receivables and inventories, highlighting the quantity of investment tied up in operating capital.
Fairness declined sharply to N421.78 million from N3.44 billion, reflecting the collected have an effect on of losses and changes recorded all over the 12 months. The corporate additionally reported a restatement of prior to now overbooked export gross sales and changes with regards to convertible financing in its commentary of adjustments in fairness.
Those actions additional underline the significance of restoring constant working profitability and strengthening the stability sheet.
Stability Sheet
At the stability sheet, overall belongings rose through 14.4% to N24.14 billion from N21.09 billion in 2024, whilst overall borrowings reached N23.21 billion, up 35.3% from N17.15 billion in 2024.
Overall liabilities rose to N23.71 billion, up 34.4% from N17.65 billion in 2024, with money and money equivalents emerging to N622.21 million from N76.39 million in 2024.
Overall fairness fell considerably through 87.8% from N3.44 billion in 2024 to N421.78 million.
Marketplace response
The percentage value closed at N7.55 on Monday, October 12, 2026, marking a 32.22% YoY building up from N5.71.