Kasapreko PLC, a leading beverage manufacturer in Ghana, has released its unaudited financial statements for the year ended December 31, 2024, showcasing a robust performance with significant growth in revenue and profitability.
The company, known for its wide range of alcoholic and non-alcoholic beverages, has demonstrated resilience and strategic agility in a challenging economic environment.
Financial
Kasapreko PLC reported a 45% increase in revenue, rising to GHS 2.72 billion in 2024 from GHS 1.88 billion in 2023. This impressive growth was driven by strong demand for its products, both domestically and internationally. Gross profit also saw a substantial increase, climbing to GHS 737.8 million from GHS 502.6 million the previous year, reflecting improved operational efficiency and cost management.
Operating profit more than doubled, reaching GHS 355.9 million, up from GHS 205.3 million in 2023. This growth was supported by a reduction in general, selling, and administrative expenses, which increased only marginally to GHS 382.8 million from GHS 305.8 million. The company’s profit before income tax and the Growth and Sustainability Levy surged to GHS 168.8 million, a significant improvement from GHS 32.4 million in 2023.
Net profit for the year stood at GHS 118.4 million, a remarkable increase from GHS 20.4 million in 2023. This growth was achieved despite higher finance costs, which rose to GHS 187.1 million from GHS 172.9 million, reflecting increased borrowing to support the company’s expansion plans.
Balance Sheet Strength
Kasapreko’s balance sheet remained strong, with total assets increasing to GHS 1.68 billion, up from GHS 1.44 billion in 2023. Non-current assets, including property, plant, and equipment, stood at GHS 740.5 million, while current assets, primarily inventories and trade receivables, grew to GHS 943.7 million.
The company’s equity position also improved, with total equity rising to GHS 327 million from GHS 208.5 million in 2023. This growth was driven by retained earnings, which increased to GHS 277 million from GHS 158.5 million, reflecting the company’s strong profitability.
Cash Flow and Financing Activities
Kasapreko generated GHS 144.8 million in net cash from operating activities, up from GHS 95.8 million in 2023. The company invested GHS 101.9 million in property, plant, and equipment, reflecting its commitment to expanding production capacity and improving operational efficiency.
Financing activities saw a net cash outflow of GHS 21.7 million, primarily due to the repayment of loans and payments made to related parties. Despite this, the company’s cash and cash equivalents increased to GHS 100.9 million at the end of 2024, up from GHS 79.7 million in 2023.
Strategic Outlook
Looking ahead, Kasapreko PLC is optimistic about its growth prospects in 2025. The company plans to continue leveraging its strong brand and operational efficiency to drive further growth. Management remains focused on expanding its product portfolio, enhancing distribution networks, and exploring new markets to sustain its upward trajectory.
In a statement, the company’s CEO and Managing Director expressed confidence in the firm’s ability to navigate the evolving economic landscape. “We are pleased with the progress made in 2024 and remain committed to delivering value to our shareholders. Our strategic initiatives and disciplined approach to cost management will continue to drive our success in the coming year,” the statement read.
The improved financial performance comes amid a stabilizing economic environment in Ghana. The country has seen a decline in inflation and interest rates, providing a more favorable backdrop for businesses. Kasapreko’s ability to capitalize on these conditions underscores its resilience and strategic agility.
Kasapreko PLC’s 2024 financial results reflect a company on the rise, with strong revenue growth, improved profitability, and a solid balance sheet. As the company looks to the future, its focus on operational efficiency and strategic investments positions it well to continue delivering value to its stakeholders in 2025 and beyond.
