Cocoa Processing Company loss widens 45% to US$5.91M in H1 2026
Cocoa Processing Company faces mounting financial pressure despite stronger confectionery sales and higher local revenue during the six months to March 2026.
GHANA – Cocoa Processing Company PLC has reported a deeper loss for the six months ended March 31, 2026, as lower production volumes, higher input costs and increased finance expenses weighed on its financial performance.
The Golden Tree chocolate producer recorded a loss of US$5.91 million, representing a 45.4% increase from the US$4.07 million loss reported in the corresponding period of 2025. Revenue also fell 4.8% to US$12.13 million from US$12.74 million.
Production costs reached US$14.36 million, exceeding revenue and resulting in a gross loss of US$2.23 million, compared with US$743,316 a year earlier. Raw materials and packaging expenses increased from US$8.95 million to US$10.28 million.
Consequently, the company recorded an operating loss of US$3.52 million, 47.5% higher than the US$2.39 million loss recorded in March 2025.
Operational data showed a sharp decline in cocoa processing. Cocoa beans processed fell 57.6%, from 2,143 metric tonnes to 909 metric tonnes, while semi-finished products packed declined 54.3%, from 1,723 metric tonnes to 788 metric tonnes.
Confectionery products packed, however, increased 30.7% from 440 metric tonnes to 575 metric tonnes. Confectionery sales rose from US$4.78 million to US$7.07 million, making the segment the largest revenue source during the period.
Cocoa butter revenue dropped from US$4.57 million to US$1.33 million, while cocoa liquor revenue increased from US$502,056 to US$3.43 million. Cocoa powder revenue declined from US$1.28 million to US$301,602.
Local sales increased 51.6% to US$6.86 million from US$4.52 million, while export sales declined 32.3% to US$5.27 million from US$7.79 million.
The company’s total assets increased 15.3% to US$148.09 million, while total liabilities rose 11.3% to US$144.85 million. Trade and other payables increased 16.1% to US$83.21 million, and total borrowings rose to US$41.35 million from US$38.30 million.
Current liabilities stood at US$121.63 million, substantially above current assets of US$31.60 million. The directors acknowledged that the company “remains in a net liability position” and continues to face “liquidity risks.”
Discussions are ongoing with the sector minister and commercial banks to raise additional capital for the company’s turnaround, with management expecting the discussions to conclude by the end of the third quarter of the 2026 financial year.
Cocoa Processing Company also plans investments in new production equipment, including an additional chocolate moulding plant, three wrapping machines and a drinking chocolate plant. It plans to rehabilitate parts of its milling section to increase chocolate production.
Other measures include introducing handcrafted and customised chocolate products, increasing Golden Tree’s visibility and rebranding Alltime instant drinking chocolate. Management also plans changes to its performance management system to improve operational efficiency.
The company further intends to strengthen its confectionery portfolio and improve production capacity as part of the turnaround programme, while continuing discussions aimed at securing the capital required to support operations and investment.
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