Guinness Nigeria grows revenue to N265bn

Guinness Nigeria PLC has reported a top-line revenue growth of 11.8 per cent to N265.04bn for the six months ended 30 June 2026, up from N237.00bn recorded in the corresponding period of 2025.

The performance was detailed in the company’s unaudited condensed financial statements submitted to the Nigerian Exchange Group on Wednesday.

“Our half-year performance demonstrates the continued resilience of our brands and the effectiveness of our operational strategies in navigating ongoing macroeconomic pressures,” the company stated in its regulatory filing.

Driven by robust domestic sales and tighter capital management, net profit after tax surged 53.2 per cent year-on-year to N25.30bn.

Basic earnings per share subsequently expanded to 1,155 kobo, compared to 754 kobo in H1 2025.

“The expansion in net profit reflects significant improvements in capital efficiency, reduced net borrowing costs, and disciplined execution across key market segments,” the management noted.

A major driver of the profit growth was a sharp 64.9 per cent decline in finance costs, which fell from N12.44bn to N4.36bn as total loans and borrowings were curtailed to N22.77bn from N43.92bn at year-end 2025.

The brewing giant also successfully restored its retained earnings balance to N15.70bn from a deficit of N5.22bn as of 31 December 2025, elevating total equity to N64.25bn.

“Wiping out the retained earnings deficit represents a vital milestone for the business, laying a solid balance sheet foundation for sustained equity value and long-term shareholder returns,” the company added.

Despite strong revenue, profit margins faced headwinds from persistent cost inflation. Cost of sales expanded 13.5 per cent to N167.57bn, while marketing and distribution expenses reached N40.19bn due to elevated logistics and promotional activity.

“While foreign exchange liquidity and inflationary pressures remain key operational considerations, management remains committed to cost-optimization, local sourcing, and market innovation to sustain momentum into the second half of the year,” the filing concluded.