LAGOS, NIGERIA — Flour Mills of Nigeria reported profit of N41 billion ($98.8 million) before tax for the year ended March 31, an increase of 11% from a year earlier.

The company posted a 51% increase in revenue with investments in the Agro-Allied business segment contributing 47% to the group’s profit before tax.  

“Our substantial underlying earnings demonstrate our commitment to achieving sustainability as we drive to achieve food security in the country, given the challenging operating environment over the years,” said Omoboyede Olusanya, group managing director. “With the acquisition of Honeywell Flour Mills PLC (HFMF) and the attendant differentiated offers, our portfolio continues to evolve, strategically positioning the Group for opportunities from the African Continental Free Trade Area (AfCFTA).”

The food segment grew by N270 billion due to higher B2B volumes and growth in core B2C categories. The oils and fats business saw revenue increase 58% while pre-tax profit margins increased by 141% year-over-year due to improved export operations.

“In line with our strategy, we will continue to increase operational efficiency with accelerated plans for cost optimizations across the group,” Olusanya said. “This will ensure that we are on course to continue to create value for our shareholders in the long run.”