CPC revenue drops 47% as net loss hits GH¢144m — SIGA

The Cocoa Processing Company (CPC) experienced a significant slump in its financial performance in 2025, with revenues falling by 47% and net losses expanding to GH¢144.06 million, according to the State Interests and Governance Authority (SIGA). Operating revenue dropped from GH¢481.88 million in 2024 to GH¢256.01 million in 2025, while costs remained relatively constant, leading to a dramatic increase in operating losses from GH¢41.22 million to GH¢92.65 million.

The company's operating profit margin worsened from negative 8.55% to negative 36.19%, and its net profit margin fell from negative 20.56% to negative 56.27%. The scale of the revenue decline could indicate a structural market issue, possibly stemming from lost cocoa-processing contracts, reduced export volumes, or shifts in global cocoa market prices.

This decline in earnings had a profound impact on CPC's capital position, with total equity plunging by 62.35% from GH¢300.71 million to GH¢113.22 million, and total assets decreasing by 13.87% from approximately GH¢2.15 billion to GH¢1.85 billion. The debt-to-asset ratio increased from 86% to 94%, indicating that liabilities were financing a majority of the company's assets, leaving equity to cover only about six percent.

SIGA highlighted CPC's capital structure as highly leveraged and financially vulnerable, warning that the shrinking equity buffer could jeopardize the company's long-term stability. Despite a slight improvement in the current ratio, CPC continued to face liquidity pressures, with operating cash flow declining from GH¢61.85 million to GH¢51.78 million.