NCR plc has released its Q3 2016 result showing that the company grew its net profit by 464%.
The principal activities of the company is the sale and service of information technology solutions and sale of computer consumables. Net profit for the period rose to NGN615 million compared to NGN199 million recorded within the same quarter last year.
Gross revenue for the third quarter of the year fell to NGN5,1 billion compared to NGN5.3 billion recorded last year. NCR has also managed to reduce its cost of sales drastically from NGN4,7 billion to NGN3,5 billion this Q3.
However, the hike inflation has increased the company’s distribution expenses more than it spent within the same quarter last year. Distribution expenses spiked to NGN875 million compared to NGN314 million expended on distribution last year.
The major area NCR concentrated on to deliver the huge profit growth was the massive cut in its administrative expenses by 62.2%. Last year, the company said spent NGN119 million on the item, this year, it spent only NGN45 million. This suggest that NCR must have carried out a huge cut in its manpower across Nigeria.
NCR’s total asset at the end of the quarter is NGN11,2 billion. This was bolstered by the NGN4 billion cash balance in its kitty. The company’s net liabilities is NGN10,3 billion.
