Salt refiner NASCON’s profit dips as inflation, devaluation bite

Nascon Allied Industries Plc, a salt refiner owned by Dangote Industries Limited, reported a 16 percent drop in its pretax profit to N7.2 billion for the first six months of this year compared to the same period of 2023.

Its unaudited results show that the company’s revenue rose 32 percent to N50.4 billion.

“The rising inflationary cost pressures resulted in Gross profit growth of 16 percent and EBITDA of 3 percent,” Thabo Mabe, its managing director, said. “Due to the macroeconomic conditions, the currency devalued further resulting in an extraordinary foreign exchange loss of N1.97 billion which depressed PAT to N4.8 billion, a 16% decline from the previous year. Although the current business landscape presents significant challenges, we are optimistic that our comprehensive and resilient strategy will enable us to exceed our previous year’s performance and achieve even greater success.”