Presco records loss of N196m in Q3:2017

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Presco Nigeria Plc has recorded suppressed performance for the period ended September 30, 2017 as its key performance indices closed on red.

The report released by the Nigerian Stock Exchange (NSE) indicated no positive index as the result has triggered negative market sentiment expected to run a course in the prevailing fourth quarter expected to end December 31, 2017.

The Presco Q3 2017 results, showed that sales and profit before tax (PBT) declined by seven per cent and 94 per cent to N4.1 billon and N351 million respectively, when compared to the previous year.

The company reported an after-tax loss of N196 million compared with PAT of N3.8 billion reported in the corresponding quarter of 2016, just as Presco’s Q3 sales declined, gross margin contracted by 3,991bps to 55.8 per cent, while net finance costs increased by 168 per cent, while the company reported a N1.4 billion loss on the revaluation of biological assets.

The underlying results reveal that Q3 PBT declined by six per cent, as the company recorded a N3.8 billion gain on biological asset revaluation in Q3 2016.

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