Dangote Sugar Refinery Plc concluded the year 2023 with a significant loss before tax amounting to N108.92 billion, in stark contrast to the pre-tax profit of N82.3 billion recorded in the previous year.
The company attributed these losses primarily to the substantial devaluation of the naira, which has severely impacted the operating profits of many manufacturing firms across the country.
According to the accompanying notes in the company’s recently released 2023 annual report and financial statements, Dangote Sugar incurred substantial foreign exchange losses totaling N172.198 billion. These losses wiped out its operating profit of N76.68 billion.
Consequently, shareholders’ funds experienced a substantial depletion, plummeting by 53% from N171.2 billion to N79.2 billion.
A breakdown of the financial results revealed revenue of N441.453 billion, representing a 9.47% year-on-year increase from N403.246 billion in 2022. However, gross profit declined to N86.304 billion from N91.963 billion in 2022, marking a decrease of 6.15% year-on-year. Similarly, operating profit declined to N76.68 billion from N82.41 billion in 2022, reflecting an 11.8% year-on-year decrease.
The company reported a loss in profit after tax, with figures plummeting to -N73.760 billion from N54.742 billion in 2022, representing a staggering 234.74% year-on-year decrease. Furthermore, earnings per share dropped to -N6.07k from N4.51k in 2022, reflecting a 234.59% year-on-year decline.
