Honeywell Flour Mills Posts N21.9bn Profit, Declares Dividend

Honeywell Flour Mills Plc has reported a profit before tax of N21.896 billion for the financial year ended March 31, 2026, marking a 3.29 percent increase from the N21.199 billion recorded in the preceding year, according to financial statements filed with the Nigerian Exchange (NGX).

The improvement in the company’s bottom line came despite a contraction in revenue, which fell 3.39 percent to N360.849 billion during the review period. Analysts note that the profit growth was largely driven by reduced production expenses and a significant drop in finance costs, rather than top-line expansion.

Finance costs declined sharply to N3.905 billion from N5.429 billion in financial year 2025, providing meaningful relief to the company’s earnings. Lower cost of sales also contributed to sustaining profitability even as operating profit weakened during the period.

In a development that signals growing confidence in the company’s financial position, the board of Honeywell Flour Mills recommended a dividend of N1.59 billion for shareholders, translating to N0.20 per ordinary share of 50 kobo each. This marks the company’s first dividend declaration since no payout was made for the 2025 financial year.

The results reflect a business navigating a challenging revenue environment while managing its cost base effectively. For investors and market watchers, the return to dividend payment is widely seen as a positive signal of the company’s financial stability and management discipline.

The financial statements have been officially filed with the Nigerian Exchange, where Honeywell Flour Mills is publicly listed.