May & Baker, Nigeria’s oldest pharmaceutical company, posted a profit before tax of N4.85 billion in the first half of 2026, up 51 percent from N3.21 billion in H1 2025, according to its unaudited half-year financial statements.
The gain was driven mainly by cost discipline rather than sales growth. Distribution, sales, and marketing expenses fell 16 percent year-on-year to N1.69 billion from N2.02 billion, while interest income more than doubled, up 101 percent, at the top of the income statement.
Gross profit rose 15 percent, sharply outpacing revenue, which grew only marginally over the period. Operating profit was one of the most improved lines, up 36 percent to N4.59 billion from N3.37 billion, helped by the same reduction in sales and marketing expenses that lifted profit before tax.
Total assets rose 4 percent to N28.43 billion from N27.36 billion, on the back of higher property, plant, and equipment. Current assets, however, fell 2 percent, largely due to a drop in advance payments.
Total liabilities fell 22 percent, as the company paid down debt from N7.87 billion to N2.91 billion, a sign of significant deleveraging. Total equity rose to N15.96 billion from N11.39 billion.
May & Baker’s cash position strengthened to N8.19 billion from N4.7 billion, driven by net cash from operating activities swinging to a positive N6.58 billion from a deficit of N893 million a year earlier. That cash generation was enough to cover N1.01 billion spent on investing activities, mainly capital expenditure on property, plant and equipment, as well as N3.94 billion used in financing activities.
May & Baker has a market capitalisation of N67.28 billion, with its shares trading at N39 on Monday, reflecting a year-to-date gain of 105.3 percent for shareholders.