High cost of sales pushes Multi-Trex to N616m loss

Multi-Trex Integrated Foods Plc has recorded a major top-line revenue surge to N3.61bn for the unaudited annual financial period ended 30 April, 2026, even as rising cost pressures widened its net loss after taxation to N615.06m.

According to the regulatory financial statements filed from its Warewa corporate facility in Ogun State and signed by Managing Director Yusuf Isiaka alongside Chief Financial Officer Afees Adewale Ashiru, the company’s revenue jumped significantly from the N47.9m reported in the corresponding period of 2025. The steep increase in turnover was primarily driven by local market sales, which contributed N3.11bn, alongside export revenues of N500m.

In their certification statement pursuant to Section 60 (2) of the Investment and Securities Act, the management affirmed the integrity of the financial records, noting, “To the best of our knowledge, the report does not contain any untrue statement of a material fact, or omit to state a material fact, which would make the financial statements misleading.”

Despite the revenue growth, higher cost of sales totalling N3.10bn and rising operating expenses of N1.11bn pushed the cocoa processing company further into an operational loss.

Multi-Trex posted a net loss after taxation of N615.06m for the 2026 financial year, compared to a loss of N423.20m recorded in 2025.

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The company’s performance reflects broader operational dynamics in the agricultural processing sector, where raw material sourcing and input cost inflation continue to impact profit margins across West Africa. Multi-Trex, which specialises in processing cocoa beans for industrial cocoa products and domestic consumer goods, has faced severe structural headwinds over the past decade, including high leverage and debt-restructuring commitments involving the Asset Management Corporation of Nigeria and commercial lenders.

Despite these historical challenges and a total accumulated loss of N3.85bn in its revenue reserve, the directors reaffirmed their commitment to operational continuity, noting in their assessment that they have no reason to believe the company will not remain a going concern in the period ahead.

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