Nigerian Breweries records unprecedented N1.1 trillion in revenue
By Ralph Tathagata
The audited Group Financial Statements of the Nigerian Breweries Plc for the financial year 2024, have revealed a record-breaking revenue of N1.1 trillion. Going by the N599.6 billion recorded in the corresponding period in 2023, the 2024 report showed a massive 81% increase.
The audited results further revealed a 51% growth in group gross profit from N212.6 billion in 2023 to N320 billion in 2024. The operating profit equally grew significantly by 59% from N44 billion to N70 billion during the period under review.
Stating that the revenue growth was largely driven by strategic pricing initiatives, market expansion, successful innovations, and operational efficiencies, Hans Essaadi, Managing Director/CEO, Nigerian Breweries Plc, said, “Despite macroeconomic headwinds faced by the company, group operating profit surged by 54%, reflecting the success of cost management, process optimization and strong operational performance.”
He added that the 34% increase in the net finance costs, and the 36% increase in the net loss recorded by the company were driven by the rise in interest rates as well as the impact of the devaluation of the naira. The net loss went up from N106.3 billion in the previous year to N144.9 billion.
Also, a statement signed by Uaboi Agbebaku, the Company Secretary/Legal Director, showed that the company took some bold steps in 2024 to deal with the issues that impacted the net profit and to strengthen its financial position. The Board obtained the support of shareholders for the company’s business recovery plan including a successful Rights Issue.
The statement equally demonstrated that the bold steps have started to yield positive results with the giant brewer, signalling strong recovery and positive momentum in the last quarter of 2024.
“In Quarter 4, Revenue grew by 89% while operating profit increased by 145%. Notably, net finance costs went down by 75% leading to a return to profitability in the quarter, the first time in two years. The return to a positive net profit position marks a major step in the company’s journey towards long term profitability and financial stability. It also reinforces the effectiveness of ongoing transformation initiatives. The proceeds from the right issues have been utilised to significantly reduce future currency risks and the board remains committed to maintaining the improved financial position,” he said.
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