PZ Cussons Plc denies planning to leave Nigeria upon poor market share
Pioneer fast consumer moving goods (FCMG) manufacturer, PZ Cussons Plc has said that it is not shutting down operations in Nigeria despite witnessing sales squeeze and associated challenging time in its African operations, especially in Nigeria.
A terse statement issued by the company and made available to Business Hilights in Lagos, the conglomerate averred that Nigeria remains PZ Cussons largest market in Africa and would not be deterred by the current challenges it was facing in the market in recent times.
PZ added that its underlying annual pre-tax profits were now expected to be ‘towards’ £70 million. Shares dropped as much as 13 per cent after the group said underlying pre-tax profits were now expected to be “towards” £70 million, down from £80.1 million a year earlier. PZ, which also owns St Tropez sun tan lotion and Original Source shower gel also cautioned over the consumer outlook globally, saying consumers were set to remain under pressure across all its markets.
The statement further noted that the African market has contributed immensely to the company’s yearly growth as it accrues more than 36 per cent of its revenue from sales across the continent. Accordingly, the embattled company informed that it was focusing on optimising price points and sizes across the key brands in its Africa portfolio especially Imperial Leather, its flagship product.