Nestle blamed the devaluation of the naira, which led to the revaluation of its foreign currency obligations for the loss.
Analysts argued that the magnitude of Nestle’s loss had negative implications for the company, but submitted there was a path to restoration for the company.
A Board Member at Highcap Securities Limited, David Adonri, said a N176.9bn loss implied that Nestlé’s solvency was highly threatened and the company’s going concern status was also uncertain.
However, Adonri noted that by injecting fresh equity capital into the company, Nestle’s going concern status would not be at risk.
Subscribe our newsletter to stay updated
Thank you for subscribing!
Subscribe our newsletter to stay updated
Thank you for subscribing!
