Camelot Ghana PLC, a leading security printing and business forms manufacturer listed on the Ghana Stock Exchange, reported a 25% surge in annual revenue to GH₵28.1 million for 2024, up from GH₵22.4 million the previous year, according to its audited financial statements released this week.
The Accra-based firm, operational for over four decades, credited the growth to expanded local sales and strategic investments in production infrastructure, even as it navigated rising operational costs and tighter cash reserves.
The company’s profit before tax rose 27% to GH₵3.57 million, with net profit after tax climbing to GH₵2.56 million, a 19% increase from 2023. Notably, Camelot declared its first dividend in recent years, approving a GH₵461,385 payout to shareholders at GH₵0.0676 per share. Retained earnings nearly doubled to GH₵3.74 million, signaling reinvestment into operations amid plans to modernize its flexographic printing machinery.
However, cash reserves dwindled by 44% to GH₵1.93 million, attributed to debt repayments and capital expenditures. Long-term borrowings were reduced by 27% to GH₵6.79 million, reflecting improved liability management. Inventories surged 40% to GH₵5.89 million, while trade receivables more than doubled to GH₵5.94 million, raising questions about working capital efficiency.
Directors emphasized adherence to International Financial Reporting Standards (IFRS) and robust internal controls, with Baker Tilly Andah + Andah issuing an unqualified audit opinion. The audit flagged no critical risks, though GH₵80,000 in audit fees remained unpaid at year-end. Board members completed environmental, social, and governance (ESG) training in August 2024, aligning with global sustainability trends.
Corporate social responsibility efforts included a GH₵25,000 donation to Matthew 25 Hospice, a new initiative under Ghana’s Income Tax Act provisions. The company reported no litigation or post-reporting period material events, affirming operational stability.
Camelot invested GH₵652,851 in property, plant, and equipment, including upgrades to its flexo printing systems—a sector generating 61% of its GH₵14.5 million operating costs. Administrative expenses rose 20%, driven by IT security and marketing overheads. Finance costs remained steady at GH₵1.69 million, with loans tied to the government-backed 1 District 1 Factory Project carrying a 20% interest rate.
The effective tax rate climbed to 25.6%, up from 22.8% in 2023, reflecting stricter compliance with Ghana’s Growth and Sustainability Levy. Directors expressed confidence in liquidity, citing access to banking facilities and a debt restructuring agreement secured against company assets.
As Ghana’s sole listed security printer, Camelot faces pressure to digitize operations while competing with regional firms. Its adoption of IFRS 9’s expected credit loss model for receivables underscores efforts to mitigate defaults, though trade payables ballooned to GH₵8.88 million. Analysts note that sustained demand for secure documentation—driven by government and financial sector contracts—could offset inflationary pressures on raw materials.
The dividend announcement marks a pivot toward shareholder returns after years of retained earnings accumulation. Yet, with cash flow from operations dropping 57% to GH₵1.74 million, balancing growth ambitions with fiscal prudence remains critical. As Camelot approaches its 50th anniversary in 2027, its ability to leverage Ghana’s push for localized manufacturing could define its next chapter.
Camelot’s resilience amid macroeconomic headwinds mirrors broader trends in West Africa’s printing industry, where security and customization increasingly drive demand. However, reliance on government partnerships and debt-financed expansion invites scrutiny, particularly as regional competitors adopt automation. The company’s 2024 performance suggests cautious optimism, but long-term success hinges on operational agility and debt containment.
