Manufacturing companies in Nigeria are faced with the contemporary issues of controlling costs due to the exchange rate volatility leading to a continuous rise in inflation and its attendant impact on the cost of operations. The 2021 Annual Reports and Accounts of Vitafoam Nigeria Plc. revealed that the company’s profit is squeezed and on a downward trajectory due to the cost of raw materials. This paper carried out a Financial analysis of the annual report and accounts of Vitafoam Nigeria Plc for 5 years (2017-2021) using Vertical, Horizontal, and Ratio analyses. All findings using the three analytical tools revealed that the company has maintained a positive operating profit and steady growth until 2021 when despite growth in Revenue, profit indicators did not grow in the expected proportion as was the case in preceding years. This was basically due to the impact of the cost of sales driven by the unavailability and volatility of foreign exchange and its attendant impact on the cost of raw materials and other production inputs. Distribution and Administrative costs remained stable and even in a downward slide in 2021 relative to preceding years. It is therefore recommended that the management of Vitafoam Nigeria Plc. aside from working to increase sales revenue, must tackle the issues of cost, especially in sourcing foreign currency to finance their inputs. They may have to explore the option of creating a market internationally for their products or diversifying to export other local contents to create room for foreign exchange inflows to finance the purchase of raw materials which is usually imported directly or through authorized distributors