Neimeth profit hits N1.5bn, advocates patient capital

Neimeth Pharmaceuticals Plc has returned to strong profitability, posting a Profit Before Tax of N1.48 billion for the financial year ended December 31, 2025, as management called on investors to embrace “patient capital” to sustain the company’s long-term expansion drive. Speaking at the company’s 2026 Annual Media Briefing, the Managing Director/Chief Executive Officer, Pharm. J. […]

Neimeth Pharmaceuticals Plc has returned to strong profitability, posting a Profit Before Tax of N1.48 billion for the financial year ended December 31, 2025, as management called on investors to embrace “patient capital” to sustain the company’s long-term expansion drive.

Speaking at the company’s 2026 Annual Media Briefing, the Managing Director/Chief Executive Officer, Pharm. J. Valentine Okelu, described 2025 as a defining year of recovery for the pharmaceutical manufacturer, marking a decisive turnaround from consecutive years of losses.

According to its Fourth Quarter 2025 results submitted to the Nigerian Exchange Limited (NGX), revenue rose by 64 per cent to N7.37 billion from N4.49 billion in 2024. Operating profit surged to N2.7 billion, compared to N18.9 million in the previous year.

Profit Before Tax stood at N1.48 billion, a sharp reversal from a loss of N854.5 million recorded in 2024, while net profit closed at N982 million, compared to a loss of N885.3 million the previous year.

Earnings per share improved from a negative 20.72 kobo to a positive 22.98 kobo.

 

Okelu attributed the turnaround to strong volume growth across key product lines, disciplined cost management and the strategic restructuring of foreign currency-denominated obligations.

 

“We focused on fundamentals. We drove volume growth, managed costs prudently and restructured our liabilities to reduce exposure to foreign exchange volatility,” he said.

 

The company disclosed that after renegotiating its foreign currency liabilities, it recorded a N48 million foreign exchange gain in 2025, compared to a loss exceeding N2 billion in 2024. Marketing and distribution expenses declined by 11 per cent despite inflationary pressures, while administrative expenses were significantly optimised.

 

The improved performance, he stated, has been reflected in the capital market. Neimeth’s share price rose from N5.80 at the start of the year to N9.80 as of January 30, 2026 — a 69 per cent increase — after gaining more than 45 per cent in 2025.

 

While celebrating the return to profitability, Okelu emphasised that sustainable growth would require long-term investor commitment, describing the pharmaceutical manufacturing sector as capital-intensive with extended gestation periods.

 

“Returning to profitability is not the destination — it is the foundation,” he said, adding that the company’s medium-term ambition is to double earnings and strengthen its position as a leading pharmaceutical manufacturing brand across Africa.

 

As part of the expansion strategy, he disclosed that Neimeth recently completed upgrades to its Oregun manufacturing facility to enhance capacity and operational efficiency, adding that construction is also ongoing at its new pharmaceutical manufacturing plant in Amawbia, Anambra State, which is designed to meet World Health Organisation (WHO) standards.

 

Upon completion, the Amawbia facility is expected to serve as a centre of excellence for pharmaceutical production, deepen Nigeria’s local manufacturing capability and position the company to leverage opportunities under the African Continental Free Trade Area (AfCFTA).

 

To fund its growth agenda, shareholders at the company’s Annual General Meeting held on June 23, 2025, approved a N20 billion capital raise.

 

 

Okelu reiterated that the company is repositioning itself as a disciplined, growth-oriented pharmaceutical manufacturer committed to delivering long-term value to shareholders and contributing to Nigeria’s medicine security.

 

“As we approach our 70th anniversary, we are no longer defined by past challenges but by future opportunities. The foundation has been laid, and the trajectory is upward,” he stated.