ELECTRIC cable maker, Cutix Plc based in Nnewi, the industrial hub in Anambra State, has reported a pre-tax profit of N454.6 million, its most recent which ended July 31, 2024.
Cutix Plc, a manufacturer of highly demanded electric cables, announcing the quarterly results for the period ending July 31, 2024, reported a significant surge in its pre-tax profit, which stood at N454.6 million, marking a 330 per cent year-over-year increase from N105.8 million reported in the same period in 2023.
Cutix Plc’s revenue also grew substantially, rising by 63 per cent year-over-year from N2.1 billion in 2023 to N3.5 billion in 2024.
Key Highlights included a revenue of N3.5 billion or +63 per cent year on year, cost of sales of N2.7 billion or +58 per cent year on year, gross profit of N803.9 million or +83 per cent year on year, operating profit of N422.6 million or +134 per cent year on year, finance cost of N73.3 million or -4 per cent year on year, pre-tax profit amounting to N454.6 million or +330 per cent year on year.
Earnings Per Share (EPS) was N8.71 or +333 per cent year on year, total assets of N7.9 billion which was +15 per cent on a year on year basis, total liabilities of N3.7 billion but no more than zero per cent year on year. Thus Cutix Plc experienced a robust increase in sales for the period ending July 31, 2024, with revenue reaching N3.5 billion, a 63 per cent year-on-year increase compared to the previous year’s N2.1 billion. Despite a 58 per cent rise in the cost of sales, the company’s gross profit surged by 83% to N803.9 million in 2024, up from N438.5 million in 2023. Operating profit rose to N422.6 million, while finance costs decreased by four per cent to N73.3 million compared to N76.1 million in the previous year, contributing to impressive pre-tax profits. For the period ending July 31, 2024, pre-tax profits climbed by 330 per cent year-over-year, reaching N454.6 million compared to N105.8 million reported the previous year. This increase significantly impacted the company’s earnings per share, which rose by 333 per cent year on year to N8.71 in 2024. The company’s total assets also increased by 15% year-over-year, reaching N7.9 billion, up from N6.9 billion in the same period last year.
However, there was no significant change in total liabilities, which remained at N3.7 billion.
Dividends. In July, Cutix PLC announced it would pay N528.4 million in dividends for the financial year ending April 30, 2024. A corporate notice signed by the company stated that its board of directors approved a dividend of N0.15 per share on July 11, amounting to N528.4 million.
This announcement was well-received in the market, causing a substantial spike in trading volume to 284 million shares and driving the stock price to a high of N5.13.
However, the stock price later retraced to close at N3 in August.
With the company’s strong financial performance, positive market sentiment is expected to continue, potentially driving the share price higher in the coming weeks. As of September 1, 2024, Cutix PLC’s share price stands at N3.08.
