Julius Berger’s annual profit climbs 24% to N16 billion
New Managing Director, Julius Berger Nigeria Plc; Engr. Dr. Peer Lubasch
Julius Berger Nigeria posted roughly a quarter increase in post-tax profit for 2024, taking its bottom line to N15.5 billion, according to its newly released audited financial report.
Turnover for the group rose 27.8 per cent to N566.7 billion on account of improvement in the income from construction contracts and rendering of services, its two chief revenue sources.
The conglomerate also saw the contribution of sales of cashew products to its revenue pool jump by more than two-fifths to N2 billion during the year, indicating that the decision in 2020 to diversify away from its core construction business into agribusiness is beginning to pay off.
Cost of sales soared by almost one-third to N495.2 billion, driven by spikes in wages, salaries & allowances, as well as materials & consumables, as annual inflation in Nigeria surged to its peak in more than 28 years during the year under review.
Net foreign exchange gains grew to N14.2 billion from N11.4 billion.
Last December, Julius Berger announced that it has resolved to set up a new subsidiary in Benin Republic “to carry on the business of planning and construction of all kinds of civil and engineering works” in the country.
Investment income for the conglomerate in the year under review advanced 189.8 per cent to N20.3 billion, driven by increased interest received on fixed deposits with commercial banks.
Profit before tax was up by 34.1 per cent at N29.6 billion, while profit after tax increased to N15.5 billion from N12.6 billion.
Total comprehensive income expanded by 357.2 per cent on the back of higher exchange differences on translation of foreign operations and revaluation surplus.
Total assets stood at N1 trillion, 48.9 per cent higher than what was reported in the corresponding period of 2023.
Julius Berger has announced a dividend per share of N3.25 per share, which compares to the N3 it declared for the 2023 financial year, taking its potential payout for the year to N5.2 billion.
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