When Nkechi Ojeyokan FCCA became CFO at Berger Paints Nigeria (BPN) earlier this year, she had no choice but to hit the ground running. ‘The Q1 results had just been released and they were not looking good,’ she says. ‘We needed to come up with some plans to turn things around.’
While sales at the decorative and industrial paints and protective coatings manufacturer had risen year on year, net income and basic earnings per share were down. Understandably, expectations of the new CFO were high, and scrutiny intense. Nkechi, who is responsible for the supply chain as well as finance, needed to quickly understand the Lagos-based business, its numbers, and trends in the sector. She also needed to consider the potential impact of key macro- and micro-economic drivers both on the business and on its customer base.
‘I had to jump in, look at what had been done and put my own touch on it’
Under pressure
Nkechi’s new role comes against the backdrop of a struggling economy. In May 2023, Nigeria’s government began fiscal, monetary and sectoral reforms to drive up economic growth and stability, but these have led to some pressure points. Devaluation of the local currency, the naira, has, for example, stoked headline inflation to record highs, exceeding 30% during 2024. ‘The devaluation was done with good intentions, but businesses are really under pressure,’ says Nkechi.
‘Almost everybody in Nigeria is feeling the impact,’ she continues. The volatility of the naira and its reduced purchasing power have introduced significant risks and economic uncertainties in Nigeria, and this instability has made it difficult for businesses to accurately predict costs and revenues, complicating financial planning and analysis processes. And preparing an updated budget – quickly – was one of the new CFO’s first priorities.
CV
2024
CFO, Berger Paints Nigeria
2023
CFO, The Big Bottling Company
2020
FD, Champion Breweries
2009
Joined Nigerian Breweries as financial analyst, later rising to business controller for sales (west zone)
When Nkechi arrived at BPN – which is listed on the Nigeria’s stock exchange and is a separate entity to the global Berger brand – the finance team were already working on a new budget. ‘I had to jump in, look at what had been done and put my own touch on it,’ she says.
It was a necessary and rewarding exercise. ‘Preparing that updated budget provided insights into some of the main issues the company was having around cost of materials, around pricing, around working capital. These were all areas we needed to look at in detail.’
Current focus
Taking steps to mitigate risks and seize opportunities as conditions change is essential. ‘Key priorities for me now are getting better pricing via suppliers and bulk purchasing, putting our costs on a more stable basis, then looking at ways to optimise revenue and maximise gross profit margins,’ she says. Finding ways for BPN to profit more from what it already does and make small tweaks that can deliver big outcomes is high on the Nkechi’s agenda.
Potential product developments and innovations are also under the microscope for both domestic and industrial markets. Many domestic BPN product lines are aimed at high-earning individuals, but it is in the industrial segment where she sees the greatest prospects.
‘We have products for the marine industry and other specialist industrial coatings that a lot of international companies and industrial groups in Nigeria need,’ she says.
Strong skills
As CFO of a listed company, there is always more to do – and to plan for. ‘Sustainability disclosure practices in Nigeria are gaining importance,’ says Nkechi. The Financial Reporting Council of Nigeria has published a roadmap for phased adoption between 2024 and 2028 of the International Financial Reporting Standards for sustainability disclosures, IFRS S1 and S2. ‘We will need to develop a clear plan for what we need to do and then reach out to our supply chain,’ she says. ‘Engagement with the right people will be vital.’
A solid educational training – she has degrees in accounting from Nigeria’s Obafemi Awolowo University and Oxford Brookes University in the UK, as well as a master’s in finance and investment from the University of Ulster, also in the UK – has provided Nkechi with the technical skills required, but she believes that strong communication skills have been the key to her progression.
‘To be relevant and to drive value, you need to develop yourself and others’
A decade at Nigerian Breweries provided her with particularly valuable experience. ‘You are required to audit processes so you must understand process, controls and risk. You converse with people at all levels in all parts of the business. This develops your communication skills and your ability to understand the business,’ says Nkechi.
Berger Paints Nigeria
NGN8bn
Revenue (2023)
NGN4.35bn
Market capitalisation
136
Number of employees
25
Distribution points across Nigeria
1974
Listed on Nigerian Stock Exchange
1959
Established the country’s first paint manufacturing plant
She built on these skills when she moved on to become finance director at Champion Breweries, another listed company, where she was managing relationships with a wide range of stakeholders. ‘Being a CFO is not just about finance,’ she says. ‘To be relevant and to drive value, you need to develop yourself and others. You need to be able to engage effectively and build good relationships, and in my role at Champion I strongly developed my ability to manage stakeholders.’
Nkechi also worked hard to hone her management skills and leadership style. ‘I had to look more at team development, at recruiting and managing people, delivering effectively by engaging constructively with them,’ she says. This, she adds, taught her a valuable lesson about the importance of building a strong team. ‘To be a high performer you also need a high performing team,’ says Nkechi, who is always looking for ways to do more. ‘At some time in the future, I would really love to take on a CEO role.’
