Nigerian Breweries Plc, the leading brewing company in Nigeria, has announced a revenue of N277 billion for the first half of 2023, according to unaudited and provisional results filed with the Nigerian Exchange Limited (NGX). The revenue represents a marginal growth compared to the N274 billion recorded in the corresponding period in 2022.
The company’s half-year results were impacted by several factors, including the devaluation of the naira, which led to the revaluation of foreign exchange obligations and higher input costs. Additionally, the effect of petroleum subsidy removal on consumers, a one-off redundancy exercise cost, and the impact of the cash crunch in the first quarter of the year contributed to the challenges faced by the company.
Consequently, Nigerian Breweries recorded an escalated loss after tax of N47 billion in the first half of 2023. However, despite these challenges, the company saw a significant improvement in its operating profit for Quarter 2, 2023, with more than a 100% increase compared to the corresponding period in 2022. This growth was attributed to pricing strategies, a focus on premium products, and effective cost management.
The Board of Directors remains optimistic about the long-term benefits of the policy reforms initiated by the Federal Government. Despite the current impact, they are committed to creating long-term sustainable value for the company’s shareholders.
Nigerian Breweries Plc, a member of the HEINEKEN Group, has a rich portfolio of 19 high-quality brands, including Heineken, Desperados, Maltina, Life, Amstel Malta, Gulder, Fayrouz, and Legend. The company operates from nine breweries and distributes its products nationwide.
