Presco reports impressive Q1’16 result

Presco plc, a fully integrated agro-industrial establishment recently released its first-quarter (Q1) 2016 results to shareholders and investors showing it recorded impressive performance across top-to-bottom line figures.

The result at the Nigerian Stock Exchange (NSE) shows Presco plc reported Q1 revenue of N3.181billion from N2.153billion in the corresponding first-quarter period of 2015.

Also, the first-quarter gross profit was high at N2.003billion, from a low of N1.301billion. Cost of sales rose to N1.177billion from N851.593million in Q1’15.

Distribution expenses declined to N52.144million from N169.110million while operating profit rose to N1.763billion from N898.088million.

With a market capitalisation of N35.7billion and shares outstanding of 1billion units, the company’s share price stood at N35.7 last Tuesday. 

Presco plc, headquartered in Benin City holds the Obaretin Estate (a concession of 7,000 hectares) and the Ologbo Estate (a concession of 11,000 hectares), both located in Edo State, and the Cowan Estate, a concession of 2,800 hectares in Delta State.

Presco today consists of: Oil palm plantations of 11,760 hectares of which 8,347 are mature; a palm oil mill with a capacity of 60 tonnes fresh fruit bunches/hour; a refinery / fractionation plant with a capacity of100 tonnes/day; and a palm kernel crushing plant with a capacity of 60M tonnes/day.

Presco planned to plant and replant a total of 3,500 hectares between 2014 and 2016 at Ologbo and Obaretin Estates.

The company specialises in the cultivation of oil palm and in the extraction, refining and fractionation of crude palm oil into finished products.

The company Q’16 profit before gain on change in fair value of non-biological assets and tax increased to N1.544billion from N635.306million in Q1’15; while profit for the period increased to N1.399billion from N1.394billion.

Presco is a fully integrated agro-industrial establishment with oil palm plantations, palm oil mill, palm kernel crushing plant and vegetable oil refining plant. It is at present the only one of such in Nigeria.

Presco supplies specialty fats and oils of outstanding quality to customers’ specification and assures a reliability of supply of its products all year round.

“This is made possible by the integrated nature of the company’s production process”, the company noted in its financial report for the first-quarter period ended March 31, 2016.