Nestlé Nigeria Plc has reported a strong rebound in its third quarter (Q3) 2025 results, posting a pre-tax profit of N39.6 billion, a sharp turnaround from the N2.9 billion loss recorded in the same quarter of 2024.
This took its nine-month pre-tax profit to N127.96 billion, compared to a loss of N255.38 billion recorded in the same period in 2024.
According to the unaudited results, the multinational food giant also posted healthy revenue growth across its two core segments.
This growth was largely driven by strong performance in the Food segment (Maggi, Golden Morn, Cerelac) and Beverages (Milo, Nescafé, Nestlé Pure Life).
For the 9-month period (Jan–Sep 2025), revenue rose by 32.9% YoY to N884.5 billion, compared to N665.3 billion in 2024.
Nestlé Nigeria’s Q3 2025 results were powered by a combination of resilient demand, effective pricing, and improved cost absorption.
This pricing power, coupled with better operational leverage, saw gross profit rise 29% YoY to N101.92 billion, ahead of revenue growth.
As a result, operating profit rose 6.6% to N50.90 billion, but operating margin slipped to 16.8%, down from 18.5% in Q3 2024, highlighting the pressure on margins despite strong top-line growth.
In essence, revenue growth and gross margin expansion were the main drivers of performance, while rising operating costs acted as a brake on the full earnings potential for the quarter.
The biggest earnings driver was the massive drop in net finance costs, down 77.6% to N11.34 billion from N50.62 billion a year earlier. This was primarily due to:
This helped swing the bottom line significantly
Total assets stood at N847.30 billion, slightly down from N858.70 billion as at December 2024, largely due to the repayment, especially advance payment to suppliers.
Total liabilities declined 8.8% to N867.00 billion, driven by a N132.7 billion (20.3%) drop in interest-bearing loans and borrowings, reflecting management’s focus on deleveraging and restructuring debt.
Despite still being in negative equity territory, Nestlé’s total equity improved significantly to -N19.70 billion, up from -N92.29 billion at the start of the year signalling improved retained earnings from recent profits.
Nestlé Nigeria’s Q3 2025 results reflect a clear operational recovery after a bruising 2024. While topline growth remains solid and finance cost relief has arrived, the company still needs to watch margin pressure and balance sheet repair.
That said, Nestlé appears to be moving in the right direction, rebuilding profitability, liquidity, and equity and laying the foundation for stronger full-year performance.
That said, Nestlé appears to be moving in the right direction, rebuilding profitability, liquidity, and equity and laying the foundation for stronger full-year performance.