Nestlé Nigeria rebounds to ₦105 billion net profit in 2025 from ₦164.6 billion loss in 2024, driven by stable naira exchange rate
Nestlé Nigeria Roars Back to Profit: Nets ₦105bn in 2025 After Two Years of Losses
After enduring two consecutive years of heavy losses that plunged shareholder funds into negative territory, Nestlé Nigeria has staged a remarkable comeback, posting a net profit of ₦105 billion for the full year 2025—marking a dramatic reversal from the ₦164.6 billion post-tax loss recorded in 2024.
The audited financial statements, released on Wednesday, February 25, 2026, credit the turnaround largely to a far more stable dollar-to-naira exchange rate throughout 2025. The naira opened the year at around ₦1,500 to the dollar and closed at ₦1,429, providing much-needed predictability for the import-reliant food giant after sharp devaluations in prior years eroded value by roughly 70%.
This stability wiped out the massive foreign currency translation loss that had ballooned to ₦290.7 billion in 2024—dropping it to zero in 2025—and slashed net finance costs by an impressive 85%. The result: profit before tax soared to ₦166.8 billion, compared to a pre-tax loss of ₦221.6 billion the previous year.
Revenue climbed 26% to ₦1.2 trillion, fueled by stronger domestic sales of iconic brands like Milo, Maggi, Golden Morn, and Nescafé. Export volumes to markets including Ghana, Ivory Coast, Burkina Faso, and South Africa surged 55.9%, adding ₦10.2 billion to the top line.
The company has also accelerated its shift toward local sourcing of key raw materials such as sorghum, cassava, soya beans, and spices—strategies that helped cushion the impact of earlier forex volatility.
CEO Wassim Elhussein highlighted the positive ripple effects on the balance sheet. “This improved performance has positively impacted on our equity position. With the results achieved in 2025, negative retained earnings from the previous period reduced by 53.6% from ₦243.2 billion in 2024 to ₦112.8 billion in 2025,” he said in a statement.
Looking forward with optimism, Elhussein added: “In the year ahead, we will keep driving cost efficiencies to support our growth in what we expect will be a more stable economic environment.”
Total assets dipped slightly by 1.5% to ₦846.2 billion, reflecting reductions in prepayments and property, plant, and equipment. Despite this, the overall equity position strengthened significantly, with some reports indicating a return to positive total equity around ₦12.9 billion—bolstered by early repayment of $40 million in forex-denominated debt.
The results signal a solid recovery for Nestlé Nigeria, one of Africa’s largest food and beverage players, as it rebuilds momentum in a gradually stabilizing macroeconomic landscape. Investors will be watching closely to see if sustained profitability paves the way for a resumption of dividend payments in the near future.
