Dangote Flour posts abysmal 309.7% loss in Q3 2019 earnings report, records negative earnings per share

Wheat milling company, Dangote Flour Mills Plc has recorded an abysmal performance going by its Q3 2019 unaudited financial statement for the 9 months period ended September 30, 2019.

The company’s revenue had a marginal drop of 7.85%. Revenue for the review period was N76.8 billion as against N83.3 billion in 2018.

Due to 4.89% and 24.67% increase in the cost of sales and distribution/administrative expenses of N75 billion and N10.7 billion, the company recorded a loss before tax of N9.6 billion from a profit before tax of N4.4 billion in 2018. This represents a 316.71% loss.

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Despite a tax credit of N2.8 billion, Dangote Flour was still in loss. The company recorded a loss after tax of N6.8 billion as against a profit after tax of N3.3 billion in 2018, representing a 309.68% loss.

The tax credit may be as a result of partnership the company had with the Federal Government on the construction of cement road in Apapa, Lagos.

Earnings per share drift into negative territory from 65.26 kobo to 136.47 kobo.

Dangote Flour traded at N22.25 during Wednesday’s trading session on the floor of the Nigerian Stock Exchange (NSE). Year to date the stock is up by 237.12%.

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