Vitafoam Nigeria Plc accelerated its earnings performance in the second quarter of 2026, posting a pre tax profit of N8.089 billion for the period ended March 31, 2026.

This represents a 48 percent increase compared to N5.62 billion recorded in the corresponding quarter of 2025.

Building on this momentum, the company lifted its half year pre tax profit to N14.73 billion, marking a 49 percent rise year on year and reflecting a stronger performance across its core operations.

In the same vein, profit after tax strengthened significantly in the second quarter, climbing 38 percent year on year to N5.349 billion.

This pushed half year profit after tax to N9.637 billion, a notable improvement over the N6.7 billion posted in the first half of 2025.

Revenue also moved higher during the review period. Vitafoam generated N34.079 billion in Q2 2026, representing a 13.14 percent increase compared to the same period last year.

Although cost of sales rose by 14.78 percent to N22.721 billion, the company still maintained positive growth in gross profit, which rose to N11.358 billion, up nearly 10 percent.

However, margin pressure emerged slightly as cost growth outpaced revenue expansion.

Gross profit margin therefore eased to 33 percent, compared to 34 percent in the prior year period.

On operating performance, the company recorded a more efficient cost structure. Operating expenses increased modestly by 9.13 percent to N4.201 billion.

This controlled rise supported stronger operating leverage, allowing operating profit to advance by 19.01 percent to N8.333 billion.

Consequently, operating margin improved to 24 percent.
A key driver of the stronger bottom line came from a sharp reduction in finance costs.

These fell significantly to N447 million in Q2 2026 from N1.44 billion in the same period of 2025.

This decline followed a reduction in the company’s loan exposure, which dropped to N3.3 billion from N9.3 billion, freeing up earnings capacity.

At the balance sheet level, Vitafoam recorded steady expansion.Total assets rose by 1.53 percent to N66.729 billion, supported largely by property, plant and equipment valued at N15.8 billion as well as cash and cash equivalents, which climbed to N12 billion.

This stronger liquidity position also supported an increase in finance income, which improved to N233.731 million compared to N69.307 million previously.
Shareholder value strengthened further as total equity rose 12.63 percent to N40.043 billion.

Retained earnings contributed significantly to this growth, rising to N30.994 billion, up 19.81 percent year on year.
Following the release of the results on April 28, 2026, investor sentiment turned positive.

Vitafoam’s share price climbed 6.95 percent intraday to close at N145.95, up from N139 in the previous session.

Market performance has remained strong, with the stock gaining 24 percent month on month and pushing its year to date return to 58.6 percent.

This extends a broader rally momentum that followed a 300 percent year to date surge in 2025, reflecting sustained investor confidence in the company’s earnings trajectory.