VFD Group Plc has reported a remarkable financial turnaround for the full year ending December 31, 2024, with a pre-tax profit of ₦12.4 billion (approximately $7.9 million at an exchange rate of ₦1,570 per USD as of February 11, 2025). This represents a strong recovery from the pre-tax loss of ₦1 billion ($636,942) recorded in 2023.
The group also announced a significant net revenue of ₦32.2 billion ($20.5 million), reflecting a 164.15% year-over-year (YoY) increase from ₦12.1 billion ($7.7 million) in the prior year.
Total assets soared to ₦328.6 billion ($209.3 million), marking a 49.90% growth from ₦219.2 billion ($139.6 million) reported in 2023. According to the Group’s Managing Director and Chief Executive Officer, Nonso Okpala, strategic investments and divestments played a critical role in boosting the company’s earnings and profitability over the past year.
Key Financial Highlights (FY 2024 vs. FY 2023)
•Gross Earnings:₦83.2 billion ($53 million), up 84.5% YoY from ₦45.1 billion ($28.7 million).
•Net Investment Income:₦21.7 billion ($13.8 million), a 1,318.95% YoY increase from ₦1.5 billion ($955,414).
•Net Revenue:₦32.2 billion ($20.5 million), up 164.15% from ₦12.1 billion ($7.7 million).
•Operating Profit:₦11.3 billion ($7.2 million), recovering from a ₦4.1 billion ($2.6 million) loss in 2023.
•EBITDA:₦56.4 billion ($35.9 million), up 119.08% YoY from ₦25.8 billion ($16.4 million).
•Pre-tax Profit:₦12.4 billion ($7.9 million), reversing a ₦1 billion ($636,942) loss in the previous year.
•Post-tax Profit:₦10.41 billion ($6.6 million), up from a ₦750 million ($477,706) loss in 2023.
•Earnings Per Share (EPS):₦8.22 ($0.0052), up from a negative ₦3.95 ($0.0025) in the prior year.
•Total Assets:₦328.6 billion ($209.3 million), up 49.90% YoY from ₦219.2 billion ($139.6 million).
Revenue Breakdown
VFD Group recorded ₦83.2 billion ($53 million) in gross earnings, reflecting an 84.5% increase from ₦45.1 billion ($28.7 million) in the previous year.
•Investment income (85.54% of gross earnings) surged by 107.62% YoY, reaching ₦71.1 billion ($45.3 million) from ₦34.28 billion ($21.8 million). This growth was primarily driven by divestments, treasury activities, interest income from loans, and dividend income.
•Other income (11.24% of gross earnings) rose 31.60% YoY to ₦9.35 billion ($5.96 million), fueled by logistics, hospitality, fair value gains, and foreign exchange gains.
•Net gains on financial assets at fair value amounted to ₦2.65 billion ($1.69 million), reflecting a 7.30% increase from ₦3.29 billion ($2.1 million) in 2023.
•Share of profit from associates stood at ₦30.04 million ($19,131), contributing 0.04% to gross earnings.
Strong Asset Growth
The group’s total assets grew 49.90% YoY to ₦328.6 billion ($209.3 million), demonstrating its focus on asset expansion and investment efficiency.
•Investments in financial assets accounted for ₦189.8 billion ($120.9 million).
•Other assets were valued at ₦58.1 billion ($37 million).
•Investment properties were worth ₦35.8 billion ($22.8 million).
•Cash and cash equivalents stood at ₦24.4 billion ($15.5 million).
Executive Commentary
Group Managing Director and CEO Nonso Okpala emphasized that strategic investments and divestments played a crucial role in improving earnings and profitability.
He stated:
“We have focused on reinforcing our financial resilience, expanding our investment portfolio, and improving our governance framework with a strong emphasis on digital innovation.”
Okpala also highlighted that a recent rights issue of ₦12.5 billion ($7.96 million) led to a 90% increase in shareholders’ funds, bringing them to approximately ₦61.98 billion ($39.5 million).
This strengthened capital base, alongside an improved leverage profile, positions the group for sustained growth and financial stability in the coming years.
VFD Group’s performance in 2024 underscores its successful investment strategies, operational efficiency, and commitment to long-term profitability.
