This is Flour Mills of Nigeria. They made only N29bn from a revenue of N1.5tn, that’s about 5% net margin. These are real companies, they’re generally called low margin businesses. Tweet added by M. Wahab @Wahaby_Agba

M. Wahab

4 months

This is Flour Mills of Nigeria. They made only N29bn from a revenue of N1.5tn, that’s about 5% net margin. These are real companies, they’re generally called low margin businesses.

ODEJIJI

@iam_incredibleB

4 months

@mrblingy @SirJarus @AyanwaleSegunD 2 B revenue and 75m profit not real

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ODEJIJI

@iam_incredibleB

4 months

@Wahaby_Agba Seen and thank you for this. If this figures are true, then their is a whole lot of slippages in the business. Maybe poorly managed. Profits taken should be more than this.

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M. Wahab

@Wahaby_Agba

4 months

@iam_incredibleB oh yes, Flour Mills has loads of issues

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Teslim The Bravest

@Teslim_TOT

4 months

@Wahaby_Agba I call them kobo kobo business

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M. Wahab

@Wahaby_Agba

4 months

@Teslim_TOT Exactly right name 😂

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Simon Obasi

@Simon_Obasi

4 months

@Wahaby_Agba FMN reported just 11.5% gross margin in FY23 and an even tinier profit margin of c.2% in the period. There's nothing to celebrate about this. Shows a lack of pricing power, stiff competition or inefficiency. Running manufacturing at sub-30% gross margin is unhealthy.

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M. Wahab

@Wahaby_Agba

4 months

@Simon_Obasi You should probably check the context of the conversation. No one is celebrating anything.

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