Lack of disposal income hits PZ Cussons in Nigeria

Lack of disposal income hits PZ Cussons in Nigeria

PZ Cussons has released a trading update in respect of the first half of the year, warning that risks remain in its key market: Nigeria.

The personal care and beauty product manufacturer is expected to report ‘broadly flat’ profits for the first half of the year ended November 30, 2015, with a strong performance in the UK offsetting a ‘difficult’ trading environment in Nigeria and the impact of weak currencies in both Asia and Africa.

While the personal care business has been robust, lack of disposable income in Nigeria has affected performance in the electricals business, said the manufacturer of Carex soap.

Looking forward to the full year PZ Cussons warned that, if current economic conditions persist, performance in the Nigerian electricals business is expected to be significantly lower.

Interim results for the first half will be announced on January 26, 2016.