Neimeth International Pharmaceuticals Plc kicked off 2025 with outstanding Q1 results, as surging demand in its pharmaceutical and animal‑health divisions propelled revenue and profit sharply higher.
Neimeth’s earnings jumped to N1.206 billion in Q1 2025, up from N 648 million in the same period of 2024, as the company capitalised on recovering prescription volumes and higher animal‑health product uptake.
“We derived revenue principally from the manufacturing and marketing of pharmaceuticals (N1.2 billion) and animal health products (N35.2 million),” the company said in its financials.
Gross profit rose 27 percent to N640 million, reflecting effective absorption of a 296 percent increase in cost of sales through stronger pricing and mix improvements.
According to the company’s financials, operating profit soared 114 percent to N450 million, up from N210 million a year earlier, despite administrative expenses climbing 62 percent.
Read also: Neimeth targets African market with new Anambra plant
This margin expansion signals that each additional naira of revenue translates into disproportionately higher profits.
Neimeth generated N618 million of operating cash flow in the quarter, comfortably funding N229 million of investing outlays and leaving the group with a N2.2 billion cash buffer against N10.6 billion of total liabilities.
The company’s net assets rose to N1.768 billion as at 31 March 2025, up from N1.652 billion at end‑2024, underscoring a strengthened balance sheet.
Neimeth’s Q1 performance delivers a compelling growth-and‑resilience narrative: revenue and profits are climbing sharply, and cash generation remains strong.
On another note, Neimeth is investing further in the African market with its Anambra plant under construction.
Valentine Chinedu Okelu, the company’s managing director, noted that the new plant being built in Amawbia, Anambra State, would serve as the company’s leverage into the African Continental Free Trade Agreement (AfCFTA).
The project was touted as a “centre of excellence” for pharmaceutical research, development, manufacturing, and distribution. Apart from the ongoing plant construction, Neimeth also recently concluded a modernisation of its Oregun plant.
Okelu noted that the upgrade of the Lagos plant was in line with Good Manufacturing Practices, noting that the facility is also going to expand.
