Fidson pre-tax profit rises 49.47% to N17.79bn in nine months

Fidson Healthcare Plc recorded a 49.47% rise in pre-tax profit to N17.79 billion for the nine months ended September 30, 2026, from N11.90 billion in the same period of 2025. The unaudited results filed with the Nigerian Exchange on Tuesday, October 27, 2026, show nine-month pre-tax profit already above the N14.96 billion reported for the whole of 2025.

Profit after tax rose 47.23% to N11.74 billion from N7.97 billion. Revenue grew 20.98% to N112.61 billion.

FX losses and financing costs fall

Net exchange losses dropped to N104.28 million from N4.16 billion, a reduction of about N4.06 billion. Finance costs fell 27.44% to N3.73 billion from N5.14 billion. Finance income rose to N272.13 million from N92.73 million. Interest on bank loans declined to N3.03 billion from N3.54 billion, while interest on commercial paper and other liabilities fell to N603.64 million from N1.43 billion.

Gross profit increased 28.07% to N48.94 billion, lifting gross margin to about 43.45% from 41.06%. Operating profit rose 25.37% to N21.24 billion, with operating margin at 18.86% from 18.21%. The decline in FX losses was equivalent to about 69% of the N5.89 billion increase in pre-tax profit.

Administrative expenses rose 65.75% to N16.42 billion, while selling and distribution expenses increased 50.17% to N11.51 billion. Income tax expense rose 53.99% to N6.05 billion, an effective tax rate of about 34%.

Third quarter profit doubles

Third-quarter pre-tax profit increased 109.29% to N6.09 billion from N2.91 billion. Profit after tax rose 106.17% to N4.02 billion. Third-quarter revenue grew 25.27% to N38.13 billion, while operating profit increased 43.46% to N6.86 billion. First-half 2026 pre-tax profit was N11.70 billion, meaning the third quarter contributed about one-third of the nine-month total.

Product mix and balance sheet

Ethical products generated N69.19 billion, up 13.17%, or about 61% of nine-month revenue. Over-the-counter products rose 26.01% to N35.05 billion. Consumer healthcare revenue increased 69.77% to N6.39 billion. Export revenue rose to N1.98 billion from N364.64 million, but Nigeria still accounted for about 98% of total sales.

Total assets increased 56.20% to N125.41 billion. Shareholders’ funds nearly doubled to N60.01 billion, supported by N21.36 billion raised from a share issue. Trade and other receivables rose 164.93% to N29.32 billion, far outpacing revenue growth. Inventory rose 39.21% to N36.96 billion. Total borrowings increased 70.30% to N23.85 billion from about N14 billion. The company repaid N20.29 billion in loans but obtained N30.16 billion in new borrowings. Operating cash flow rose 93.94% to N32.62 billion, while cash balances increased about 132% to N10.93 billion. Capital expenditure was N9.97 billion. Borrowings rose even though the rights issue prospectus earmarked N9.5 billion for debt repayment. The N21 billion rights issue of 600 million shares at N35 per share was oversubscribed by 117.3%. The enlarged share base helped basic earnings per share rise 12.68% to N3.91, below the 47.23% rise in profit after tax.

Share price and outlook

Fidson shares closed unchanged at N83.50 on Tuesday, October 27, 2026. By midday Wednesday, October 28, the stock had risen 4.37%, or N3.65, to N87.15 from the previous close. The stock began 2026 at N50.10 per share and had gained about 66.7% by the October 27 close. It ranked 32nd on the NGX in year-to-date share-price performance as of that session. The results show stronger profitability from lower FX losses, improved margins and higher operating cash flow. Sharp rises in receivables, inventory and borrowings remain key balance-sheet items for investors to monitor in the final quarter of 2026.