Guinness loss widens to N54.76bn as finance cost spikes by over 100%

Guinness Nigeria Plc has released its audited financial statements for the year ended June 30, 2024.

Guinness Nigeria Plc loss for the year came in higher at N54.766billion, from loss of N18.168billion in 2023, representing 201percent increase.

The company’s net finance costs rose by 117.79 percent to N99.087billion in 2024, from N45.496billion in 2023. Its loss before income tax (LBT) rose to N73.679billion from N22.138billion loss before tax in 2023 financial year.

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The brewer’s full year revenue of N299.489billion as against N229.440billion represents 31percent increase. Its profit from operating activities printed at N25.407billion in 2024, from N23.357billion in 2023, up 9percent.

No dividend has been recommended by the Board of Directors for approval at the forthcoming Annual General Meeting as against N15.639billion it paid as dividend in 2023.

Guinness Nigeria, with market capitalisation of N139.089billion is listed on the beverages – Brewers/Distillers subsector of the Consumer Goods sector of the Nigerian Exchange Limited (NGX). The brewer’s 2.190billion shares outstanding are valued at N63.5 per share as at July 26.

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Recently, Guinness Nigeria Plc disclosed Tolaram plans to acquire Diageo’s shareholding in the company. Under the terms of an agreement signed on June 11, 2024, Tolaram will acquire Diageo’s 58.02percent shareholding in Guinness Nigeria, and enter into long-term license and royalty agreements for the continued production of the Guinness brand and its locally manufactured Diageo ready-to-drink and mainstream spirits brands. The transaction is expected to be completed during Fiscal 2025, subject to obtaining the requisite regulatory approvals in Nigeria.