Soaps and cosmetics maker PZ Cussons Plc's full-year pretax profit dropped 23 percent, well below its estimates, as sales fell in Nigeria, its largest market.
The company's pretax profit fell to £66.6 million for the 12 months to May 31, from £86.5 million a year earlier, it said on Tuesday.
The Imperial Lather brand owner said in June that its full-year pretax profit would be at the lower end of its £80 million to £85 million range.
Full-year revenue dipped 5.8 percent to £762.6 million.
"Whilst the Group has delivered good profit growth in Asia and a creditable result in Europe, macro-conditions in Nigeria have resulted in a sharp decline in Africa profits for the year and hence a disappointing result for the Group as a whole,” commented Caroline Silver, chairman.
“In Europe, good growth in the Group's Beauty division has helped to partially offset the more challenging trading conditions faced in the UK Washing and Bathing division.
“Furthermore, for all markets, we remain focused on innovation but with a sharpened lens on fewer, bigger, higher margin product launches which will differentiate further our brands, as well as a reduction in overheads through optimising our operating model.”
News by Reuters, edited by ESM. Additional reporting by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.