PZ Cussons: Carex maker backs outlook despite surge in Nigerian currency
British health and beauty manufacturer PZ Cussons said its on track to deliver a revenue of more than £520m despite the decline in the value of the Nigerian Naira, which it said has had a “significant” impact on its trading.
The Manchester-based Imperial Leather maker said in an update this morning that trading in the final quarter of the financial year, which ended on May 31, 2024, was “in line with management expectations”, with the group expecting to report adjusted operating profit in the region of £55m-60m.
The group’s gross debt in the most recent period is also expected to be “comfortably within the guided range” of £160m-180m.
This was despite a 23 per cent drop in the value of the Nigerian Naira since PZ Cussons’ quarter three trading update in April.
The London-listed company said that surplus cash in Nigeria was “minimal as a result of prioritising the continued repatriation of cash”.
Nigeria is a key market for the soap and shower gel maker and in 2023 the group made an offer to acquire the 26.7 per cent stake of its Nigerian subsidiary, PZ Cussons Nigeria.
PZ Cusson provided no further news on its proposed portfolio transformation, where its St Tropez tanning brand has been put up for sale and options are being evaluated for its Nigeria business.
The group will report its full year results on September 18, 2024.