Chemical and Allied Products Plc (CAP Plc) delivered a strong performance in Q3 2025, posting a profit before tax of N1.71 billion, up 36% from N1.26 billion in the same period last year.

This lifted the company’s nine-month pre-tax profit to N5.4 billion, a 39% increase from N3.9 billion in the same period of 2024.

The company’s growth was supported by strong revenue from its core paints business and improved cost management.

Revenue rose 26.7% year-on-year to N10.18 billion in Q3, driven by continued demand for its paint products.

• For the nine months ended September, revenue stood at N30.27 billion, up from N23.65 billion last year.
• Of this amount, paint sales accounted for N30.2 billion, representing the bulk of total revenue, while N46.2 billion came from related services.

The company achieved a 25.5% increase in Q3 gross profit to N4.3 billion, with gross margins supported by managed raw material costs and efficient production.

Despite rising costs, CAP Plc delivered a resilient performance in Q3 2025, translating revenue growth into higher profitability.

• Cost of sales rose 27.5% to N5.8 billion, up from N4.5 billion in Q3 2024, driven by increased raw material and production costs.
• Administrative expenses increased 16.3% to N1.75 billion, reflecting higher staffing and overhead costs.
• Selling and marketing expenses jumped 31.8% to N1.07 billion, as the company continued investing in brand and customer outreach.

Even with these cost pressures, operating profit rose 32.2% to N1.60 billion, supported by strong gross margins.

Profit before tax increased 35.5% year-on-year to N1.71 billion, while profit after tax grew 35.6% to N1.14 billion, reflecting a jump from the previous year.

Shareholders also saw improved returns, with earnings per share rising to 141 kobo, up from 104 kobo in Q3 2024.

Balance sheet shows stronger liquidity 

CAP Plc’s cash and cash equivalents rose 9.8% to N7.70 billion, reflecting strong operational cash flows.

• Total assets: N20.73 billion, +5.3% YTD
• Total liabilities: N8.37 billion, down from N9.04 billion
• Equity: N12.36 billion, up from N10.64 billion

Source: Nairametrics