Meyer Plc has posted robust unaudited results for the year ended December 31, 2025, reporting a pre-tax profit of N737 million, a 61% increase from N457.6 million in the previous year. The growth was driven by increased demand for the company’s paint and coatings products.
The company’s revenue rose by 35.5% to N4.23 billion, marking one of its strongest performances in recent years. Analysts noted that this figure is nearly half of the company’s total revenue recorded over the last five years, indicating a significant recovery and growth momentum.
Strong Bottom-Line Growth Despite Cost Pressure
Profit after tax climbed to N550 million, up 86%, reflecting improved operational efficiency and strong finance income.
However, investors remain cautious as the company has yet to return to the N1 billion profit milestone achieved in 2020, a benchmark that continues to set expectations for future performance.
Key Financial Highlights (FY 2025 vs FY 2024)
| Metric | FY 2025 | FY 2024 | YoY Change |
|---|---|---|---|
| Revenue | N4.23bn | N3.12bn | +35.5% |
| Cost of Sales | N2.72bn | N2.08bn | +30.5% |
| Gross Profit | N1.51bn | N1.04bn | +45.4% |
| Operating Profit | N392m | N209m | +87.9% |
| Profit Before Tax | N737m | N457.6m | +61% |
| Profit After Tax | N550m | N295m | +86% |
| EPS | N1.11 | N0.59 | +88% |
| Total Assets | N3.44bn | N2.84bn | +21.2% |
| Equity | N2.23bn | N1.83bn | +21.9% |
What the Numbers Reveal
The growth in revenue was largely driven by stronger sales in the paint and coatings segment. The company also maintained control over direct costs, leading to a 45.4% rise in gross profit to N1.51 billion, with a healthy gross margin of 36%.
However, operating costs remained a pressure point, resulting in an operating profit margin of 9% and an operating profit of N392 million.
The bottom-line was significantly supported by finance income, which rose to N345 million from N251 million in 2024. Finance costs also remained minimal at N0.2 million, down from N2.5 million in the prior year.
Balance Sheet Strength Improves Liquidity
Meyer Plc’s balance sheet showed expansion in total assets to N3.44 billion, driven by growth across both current and non-current assets. Cash and cash equivalents increased to N2.05 billion, improving liquidity and financial flexibility.
Total equity rose to N2.23 billion, while debt was reduced sharply to N1.82 billion, down 68.4% from N5.78 billion in 2024, signalling reduced reliance on external financing.
Market Performance and Investor Outlook
Meyer Plc’s stock price closed at N19, reflecting a 46.7% increase. The company’s market capitalisation stands at N10.1 billion, which is considerably higher than its net assets of N2.23 billion. This valuation gap suggests either strong investor confidence in future growth or potential overvaluation.
Earnings per share rose to N1.11, the highest since 2021. Market analysts predict the company may return to the N2.25 EPS level achieved in 2020, possibly by the 2026 financial year.
Trading Activity
Meyer Plc ranks as the 109th most traded stock on the Nigerian Exchange (NGX) over the past three months, with 13.5 million shares traded, valued at N221 million, indicating moderate market activity.