Meyer Plc's Revenue Fell by 40% in 2023

Based on an analysis of Meyer Plc's most recent financial statement by BusinessDay, the company's earnings as one of Nigeria's largest paint manufacturers, fell by 40% last year. 

The company's after-tax profit in 2022 was N393 million; in 2023, it was N235 million. Operating costs rose from N568 million to N707 million, a 24 percent increase.

Its financing cost rose significantly during that time, from N1.9 million to N4.1 million, a 114 percent increase.

Operating expenses included substantial administrative costs, amounting to N410 million. The main drivers of these costs were performance and management fee expenses, which accounted for 38.7% of the total expenses.

The company's selling and distribution expenses increased by 30% to N297 million from N227 million due to employee costs and carriage inward fees.

Revenue increased by 64 percent from N1.37 billion in 2022 to N2.26 billion in 2023. The sale of paints brought in N2.25 billion, and services costing N6 million accounted for N6 million of the total revenue of N2.26 billion.

Finance income increased from N82 million to N159 million. The company's operating income dropped from N51 million to N13 million, a 160 percent decrease.

Meyer's diluted and basic earnings per share decreased from 79 to 47 kobo. The sum of all liabilities and equity rose from N1.44 billion to N1.68 billion.

Net cash from operating activities increased modestly to N103 million in 2023 from a loss of N153 million in 2022, primarily due to the company's working capital inflows.

Net cash from investing activities increased by N89 million during the reviewed period, as opposed to N73 million. However, net cash from financing activities experienced a loss of N166,000 instead of N11.4 million.

At the end of the period, the closing balance of cash and cash equivalents was N1.52 billion, an increase from N1.32 billion.

About Meyer Plc
Meyer Plc, formerly known as DN Meyer Plc, is a premier entity in Nigeria’s manufacturing landscape, primarily focused on producing and marketing a comprehensive range of paint products, coatings, adhesives, and flooring solutions. With its inception dating back to 1960 and a transformation into a public entity in 1979, the company has established a robust presence in the market, further solidified by its listing on the Nigerian Stock Exchange the same year. 

Meyer Plc operates under the leadership of a distinguished board of directors. Its corporate headquarters are nestled in the industrious heart of Ikeja, Lagos. The company boasts a significant shareholding structure, predominantly held by Greenwich Capital Limited and Bosworth Investments & Services Limited, alongside substantial Nigerian citizen ownership. 

In the year ended December 31, 2023, Meyer Plc demonstrated commendable financial stewardship, recommending a dividend of 30k/Share, underscoring its financial health and commitment to shareholder value. Additionally, the company prides itself on a strong focus on research and development, fostering continuous innovation in its product offerings while emphasizing employee welfare and safety, reflecting its corporate ethos of excellence and integrity.