Guinness Nigeria has recorded 31 percent revenue growth for its twelve months ended June 30, 2024 amid a challenging macroeconomic environment.
The brewer’s revenue surged to N299.5 billion in June 2024 from N299.4 billion in June 2023.
The revenue growth was driven by 98 percent contribution by sales in Nigeria which is its primary geographical segment while export contributed 2 percent where Nigeria sales increased to N295.9 billion from N227.3 billion and exports grew to N3.56 billion from N2.09 billion.
However, Guinness Nigeria recorded an after-tax loss of N54.8 billion from N18.2 billion.
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Guinness Nigeria said in a statement that there is a given challenging macroeconomic environment characterised by declining consumer disposable income due to all-time high inflation, currency devaluation, fuel subsidy removal, and food insecurity.
It however noted that the revenue growth was driven by an optimised category mix, innovative offerings, and targeted price increases to offset rising costs.
“Non-Alcoholic Malt, Ready-to-Serve beverages, and International Premium categories demonstrated resilience, recording notable growth compared to the previous year. The company also intensified its trade and consumer engagement efforts through digital platforms, activations, and captivating brand visibility,” Guinness Nigeria said.
The brewer’s cost of sales increased to N208 billion from N151.3 billion during the period reviewed.
“The company faced increased cost of sales, which rose by 37 percent due to inflation-driven hikes in raw material prices, unprecedented utility cost increases, and currency devaluation,” Guinness Nigeria said. “Nonetheless, operating profit rose by 9 percent, propelled by strong revenue performance and intensified productivity gains across the organisation.”
“We are extremely proud of our team’s ability to deliver such strong financial performance amidst significant macroeconomic headwinds. Our strategic focus on category mix optimization, innovative product offerings, and targeted price adjustments has been key to navigating these challenges and driving growth,” Adebayo Alli, managing director of Guinness Nigeria said.
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“Looking ahead, we are committed to our mission of transforming Guinness Nigeria with a strong focus on winning differently as we move into the full year of 2025. We will continue to leverage digital innovation, deepen our consumer engagement, and invest in our people and brands to ensure sustained growth and value creation for our stakeholders,” he said.
“We remain committed to continuously evaluating our strategy against the evolving business landscape to ensure we deliver returns to our shareholders and create long-term value for all stakeholders. Our performance this year demonstrates the resilience and adaptability of our business in the face of economic challenges,” Omobola Johnson, chairman of the board of directors at Guinness Nigeria said.
