By Joy Baba-Yesufu
Julius Berger Nigeria Plc has reported a 246 percent increase in its property, plant, and equipment (PPE), reflecting its expansion strategy across Africa.
The construction company saw its PPE for the financial year ended 2024 rise to N279 billion from N80.3 billion reported in the same period of 2023.
The company’s ongoing expansion efforts and strategic investments in its operations have fueled this impressive growth. According to its unaudited financial results for 2024, Julius Berger’s total assets surged by 50 percent, reaching N1.01 trillion from N678 billion reported in the previous year.
In a statement, the company said that it has resolved to establish, incorporate, and register a wholly owned subsidiary company, limited by shares, under the provisions of the laws of Benin Republic to carry on the business of planning and construction of all kinds of civil and engineering works in the Republic.
“The establishment of this subsidiary would enable Julius Berger to be responsive to the emerging business opportunities, in the Republic and environs,” it said.
During this period the company’s proceeds from its disposal of PPE also rose to N15.3 billion from N4.8 billion while its purchase of PPE amounted to N4.1 billion.
Industry analysts attribute the increase in PPE to Julius Berger’s substantial investment in equipment, technology, and new projects aimed at enhancing operational efficiency and profitability. This growth aligns with the company’s strategic vision to remain competitive in Nigeria’s evolving economy.
Despite economic headwinds, Julius Berger recorded a 17.3 percent rise in its after-tax profit in 2024, driven by investment income.
The company’s after-tax profit grew to N14.9 billion from N12.7 billion.
The performance of the company in the period under review was due to an increase in income obtained from the implementation of strategic investments and the company’s revenue from Africa.
The company’s investment income rose by 180.5 percent to N20.2 billion from N7.2 billion during the period.
Also, Julius Berger plc. grew its revenue by percent to N566 billion from N446 billion, thanks to civil works which contributed 55 percent of the total revenue.
Other segments that contributed to the revenue include building works and services which contributed N130 billion and N119 billion, respectively.
Gross profit fell by 3.16 percent to N70.3 billion from N72.6 billion. This is as production cost rose to N495 billion from N373 billion.
The company’s stock started 2024 with a share price of N43.00 and traded at a share price of N172.50 as of November 11, 2024.
Julius Berger stock started 2024 appreciated by percent, moving from an all-time low of N43 as of January 1 to N155.25 as of December 31. During the same period, there was immense buy pressure on Julius Berger’s shares, which surprised market observers.
However, in 2025, investors are reducing their appetite for Julius Berger stock as the market was volatile, it started the year at N155.30 on January 2nd but currently sells at N128 as of February 11, depreciating by 21 percent.
Earnings per share (Basic), the portion of a company’s profit that is allocated to each outstanding share of common stock and an indication of the company’s health improved to N9.20 last year from N7.96 in 2023.
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