Chellarams declares N2.64bn PAT in Q2”18 result

….as net income grew by 84.06%
Shareholders of Chellarams Nigeria Plc may have started looking up to rewarding 2018 financial year, hinged on the company’s remarkable second quarter result released for the period ended 30th September 2017.

The result released by the Nigerian Stock Exchange (NSE) on Thursday, 09th October, 2017, showed that revenue depressed by -3.9 per cent to N6, 043 million from N6, 289 million posted in the corresponding period of 2016.

According to the result, profit after tax (PAT) for the period soared by 1177. 5 per cent to N2, 636 billion from N206, 347 million in the Q2 2016. Year- on -year (Y/Y).

Chellarams Plc had revenues fall -38.27 per cent from N20.09bn to N12.40bn, though the company grew net income 84.46 per cent from N157.39m to N290.32m.

The result showed that Profit before tax (PAT) for the group closed at N2, 680,611 in Q2 2017, while in the corresponding period of 2016, it was N246, 594 reflecting 987.2 per cent growth.

According to the Chellarams Q2 result, Income tax expenses closed at N44, 270, while in the Q2 period of 2016, income tax expenses closed at N40, 247, thus indicating 10.0 per cent increase.

The result further showed that profit after tax (PAT) for the period soared by 1177. 5 per cent to N2, 636bn from N206, 347m in the Q2 2016.

Distribution expenses declined to N88, 102m, while in Q2 2016 it stood at N99, 273m, Cost of sales however buoyed to N5, 058,642bn, from N4, 482,485bn recorded in Q2 2016, while administrative expenses grew to N974, 689m from N878, 681m recorded in 2016 Q2.

The result revealed that income tax expenses rose to N44, 270m from Q2 2016 result, which stood at N40, 247m.

According to the result, the company’s net asset value closed the period at 4,402, while in 2016 Q2, it closed at 1,765 accounting for 149.4 per cent growth.

The result showed that, year on year (Y/Y) Chellarams Plc had revenues fall -38.27 per cent from N20.09bn to N12.40bn, though the company grew net income 84.46 per cent from N157.39m to N290.32m.

Chellarams Plc is engaged in trading and distribution of fast moving consumer goods (FMCG), ingredients and consumer durables and industrial chemicals.

The company’s product range includes whole milk powder, fat filled milk powder, skimmed milk powder and butter.

The company’s trading operations are segmented into two divisions: industrial raw materials and consumer products.

The portfolio of products within these two divisions consists of machinery, ingredients for food manufacturers, frozen foods, bicycles and electronics.

The company serves various industries, such as manufacturing, retail, distribution, marketing and power generation.

The company’s subsidiaries include Dynamic Industries Limited, which is engaged in manufacturing of plastic film, and United Technical and Allied Services Limited, which is engaged in sales and servicing of compressors, generators and material handling solutions.