Nigeria’s pharmaceutical industry is increasingly being reshaped by local manufacturers stepping into spaces once dominated by multinationals, and Fidson Healthcare Plc’s 2025 financial performance underscores that shift. In a year marked by inflationary pressure, foreign exchange tightness, and elevated interest rates, the drug maker delivered its strongest results to date, highlighting both rising healthcare demand and the growing capacity of indigenous producers.
Fidson Healthcare Plc closed the year ended December 31, 2025, with a sharp acceleration in revenue growth. Turnover rose to N191.1 billion, more than doubling the N84.2 billion recorded in 2024 and far above the N53.1 billion achieved in 2023. The expansion was driven by higher sales volumes across its ethical drugs, over-the-counter products, and consumer healthcare portfolio, reflecting wider market penetration and stronger distribution.
The surge in revenue translated into improved profitability despite a challenging cost environment. Profit after tax climbed to N9.3 billion from N5.8 billion in the prior year, lifting earnings per share to 388 kobo from 252 kobo. At a share price of N68.00 as of January 29, 2026, the improved earnings profile has strengthened the company’s standing on the Nigerian Exchange.
Cost pressures remained evident, particularly from imported raw materials, energy, and logistics. Even so, gross profit rose to N49.1 billion from N35.1 billion in 2024, while operating profit increased to N20.9 billion from N13.1 billion. Administrative expenses grew to N13.6 billion and selling and distribution costs to N10.0 billion, reflecting broader market reach, increased promotional activity, and an expanded distribution network.
Finance costs continued to weigh on performance, rising to N7.1 billion from N5.5 billion due largely to persistently high domestic interest rates. However, relatively contained foreign exchange losses during the year helped moderate the overall impact of higher borrowing costs, offering some relief in an otherwise tight financial environment.
A notable highlight of the year was the turnaround in cash generation. Net cash from operating activities reached N13.4 billion, reversing a N505 million outflow recorded in 2024. This improvement was supported by stronger profitability as well as tighter working capital management, including better receivables collection and improved inventory control.
Fidson also stepped up investment in capacity expansion. Capital expenditure on property, plant, and equipment rose to N7.8 billion, more than double the N3.7 billion invested in the previous year. The increased spending aligns with management’s strategy to deepen local manufacturing capabilities and reduce reliance on imports, particularly in a volatile foreign exchange environment.
Despite the higher investment outlay, liquidity improved. Cash and bank balances increased to N4.7 billion from N3.6 billion at the start of the year. Total assets expanded to N80.4 billion from N73.5 billion, driven mainly by higher fixed assets, while inventories edged up to N26.3 billion to support growing sales volumes.
The balance sheet showed further strengthening in shareholders’ funds, with equity rising to N30.8 billion from N23.7 billion, underpinned by retained earnings of N24.7 billion. Total liabilities were broadly flat at N49.7 billion, reflecting a reduction in long-term borrowings offset by higher short-term financing.
Shareholders also benefited from improved returns, as dividends paid increased to N2.3 billion from N1.4 billion, signalling management’s confidence in earnings sustainability despite ongoing macroeconomic uncertainty. On the Nigerian Exchange, Fidson ranked as the 83rd most traded stock over the three months to January 29, 2026, with 63.5 million shares traded in 30,885 deals valued at N3.44 billion. The company is also the 51st most valuable stock on the exchange, with a market capitalisation of N156 billion.
Overall, Fidson’s record performance reflects broader trends within Nigeria’s pharmaceutical sector. As multinational players scale back operations and healthcare demand continues to rise, policy support for local manufacturing is creating opportunities for domestic firms to expand. Fidson’s 2025 results suggest it is positioning itself as one of the key beneficiaries of this evolving landscape.