Nigerian Breweries Plc reported revenue of N393.336 billion for the Third Quarter (nine months) ended September 30, 2022. The figure represents an increase of 27.2 percent from N309.22 billion recorded in the corresponding period in 2021.
In a statement signed by the Company Secretary/Legal Director, Uaboi Agbebaku, revenue growth in the quarter driven by pricing was however offset by higher input cost arising from increased rate of inflation and higher energy costs.
Nigerian Breweries Plc cost of sales rose significantly by 20.2percent from N198.75billion in 2021 to N238.92billion during the period under review in 2022. Marketing, Distribution, and Administration expenses also grew by 40.1percent from N86.33billion in 2021 to N120.95billon in 2022.
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Apart from volume and cost challenges which affected business performance negatively in Q3,2022, there was increased pressure on consumer disposable income as well as heavy rains and flooding. Nevertheless, the Company performed relatively well in the period led by strong premium portfolio of Heineken, Tiger and Desperados.
Despite the volume and cost challenges in the third quarter, the strong performance recorded in the first half of the year ensured that Operating Profit grew by 44percent while Profit After Tax (PAT) went up 80percent. The board has therefore announced an interim dividend of N3.29billion payable to shareholders at 40kobo each per ordinary share of 50kobo.
While being cautious about the development of input costs and consumer demand in the remaining period of 2022, Nigerian Breweries Plc assured stakeholders that it is well positioned to take advantage of any upswing in the market and maintain its leadership position.
