In 2024, Nigeria’s paint makers reported a 45 percent rise in production costs, as rising expenses hit their bottom-lines.
Data compiled by BusinessDay show the total cost of production (cost of sales plus administrative and distribution expenses) of Berger Paints, Chemical and Allied Products (CAP) Plc and Meyer Plc hit N44.2 billion in 2024, which is 88 percent of their combined revenue of N50.21 billion.
That means shareholders are missing out in terms of higher dividends and profits that would have added impetus to their portfolios of returns.