Guinness Nigeria Reports Drop in Profit amid stiff competition, impact of excise duty increase

Guinness Nigeria Reports Drop in Profit amid stiff competition, impact of excise duty increase

Must Read

List of Guaranty Trust Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...

Top 10 Most Expensive Universities In Nigeria

For many Nigerians, high-quality higher education is a luxury. There are many private universities who are known not only...

List of Access Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...
- Advertisement -
- Advertisement -

Guinness Nigeria Plc said that its revenue and profit continued to face market challenges in the first half of the year.

The drinks company reported a tepid rise in sales for the six months to the end of December. Sales rose by 1% to N68.3bn from N67.8bn in the same period in 2019.

The growth was driven by double-digit expansion in brand Guinness and its spirits portfolio.

The company blamed the marginal sales rise on the effect of the excise duty increase on sales and the absence of pricing opportunities in the half.

Operating profit fell by 23% to N3.6bn due in part to the marginal sales increase.

Read:  MTN, Super Sports TV, Big Church Foundation Support Kick Against Rape Football (Pics)

Net Finance cost surged 92% in the first half to N1.6bn as a result of a 144% increase in the first quarter. Net finance cost in Q2 was 39%.

Net profit fell by 49% to N1.3bn from N2.6bn in the previous year.

Read:  Guinness Nigeria PLC H1'18 - Earnings momentum picks up in H1’18

Commenting on the results, the company said its board remains confident that the results, especially Q2 results indicate that its strategy is working and that it is making the right investments to ensure long term competitiveness.

- Advertisement -

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Latest News

Take off to Strategy 2025 goals: DHL Express upgrades its fleet with six new Boeing 777 Freighters this year

First delivery of 2020 batch accomplished, recent 777F touched down at its operational home base Cincinnati last ThursdayDHL continues...

Billionaire Mai Vu Minh welcomed the assistant of Bosnia-Herzegovina President to pay an official visit to Vietnam

The visit is one of the activities of the program "Bilateral investment cooperation between SAPA Thale Group and Bosnia - Herzegovina Government and leading...

OVH Energy Marketing Commits to Reshaping Nigeria’s Fuel Retail Landscape

OVH Energy Marketing, a licensee of the Oando retail brand, has restated its commitment to reshaping the fuel’s retail landscape. The company made this...

Islamic Development Bank Issues its Largest Ever Sukuk Worth US$ 2 Billion

The Islamic Development Bank (IsDB) has priced its largest Sukuk issuance ever, raising US$ 2 billion in 5-year Trust Certificates under its US$ 25...
%d bloggers like this: