FTN Cocoa: Q2 result gives shareholders hope

FTN Cocoa processing Company plc may have restored hope to for future good performances with timely delivery of its 2017 second quarter 2017 unaudited financial statement for the period ended 30TH June, 2017.

The company, Daily Times Nigeria gathered has been under reconstruction tag by the Nigerian Stock X-compliance report and Ftn Cocoa Processors Plc Statement of Financial Position for the Period Ended 30 June, 2017 RELEASED BY THE Nigerian Stock Exchange (NSE)

FTN Coca’s total liabilities in Q2 2017 increased to N4, 156,319 billion, from N4, 082,727b in the preceding period 2016.

Total liabilities and equity for the period rose to N5, 064,248, from N5, 276,690 in 2016 Q2.

The company’s revenue for the half year period of 2017 ended 30th, June, showed that revenue closed lower at N18,553 million from N662,964m in the preceding period of 2016 , representing 97.20 per cent drop.

Loss before and after taxation increased to N286, 034m, from N151, 144 in 2016 second quarter, indicating 89.25 per cent drop in loss position.

The company’s loss per share increased by 47.15 per cent to 13.00 kobo from N6.87k in the second quarter 2016.

The result further showed that, the company’s share capital stood at N1, 100,000b, as was recorded in 2016 second quarter. Revaluation reserve closed the period at N983,017 million, as posted in Q2 2016. However, equity value dropped to N907, 929m, from N1, 193,963 in Q2 2016 indicating 23.96 per cent decline.

Cocoa processors, Daily Times recalls recently bemoaned the Central Bank of Nigeria (CBN), over loss of $2.2bn in export sector. The cocoa producers hinted that such export should be value chain produces which guarantees
increased value other than exporting raw materials.

Akin Laoye, Executive Director, FTN Cocoa Processors Plc, was quoted to have said that it doesn’t make sense to start exporting the nation’s basic raw materials without processing and add value.

“When you process, you add value and that value addition also makes money in terms of value of the product that comes out. So if all the factory in Nigeria are not working, it means that our potentials of what we can sell for processing is lost and there are some other benefits”

“when you add value, you use industry in employing people and when you are now shipping just your basic raw materials, it means the jobs in Nigeria are basically exported out of the country” he said