NNFM Reports Steep H1 Losses as Investors Question Related-Party Exposure
Northern Nigeria Flour Mills Plc reported a sharp deterioration in its results for the six months ended 30 September 2026. Revenue fell 72% year-on-year to ₦3.88 billion, while the company recorded a gross loss of ₦1.17 billion and a loss after tax of ₦3.22 billion. The company also reported finance costs of ₦1.29 billion, largely linked to intragroup interest. Its balance sheet shows ₦18 billion in inventory, cash of ₦748 million, ₦11.79 billion due from related companies and ₦27.52 billion in intercompany payables. Golden Penny Foods Limited holds 59.60% of NNFM, while the public free float is about 32.6%. The company’s concentrated ownership and extensive related-party balances may warrant closer scrutiny from minority shareholders. NNFM has said it is implementing measures to improve sales volumes and production efficiency, but investors may seek more detail on its recovery plan and funding structure.
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