Baker Magunda
Goddy Egene
Guinness Nigeria Plc, a leading beverage
and alcohol company in Nigeria has announced its
unaudited results for
its first half (H1) year period ended December 31, 2019.
The results showed that revenue
increased marginally from N67.796 billion to N68.327 billion. The growth
was mainly driven by strong double-digit growth in brand Guinness and
mainstream spirits.
Operating profit declined from N4.638
billion to N3.559 billion mainly due to the impact of the excise duty
increase, while profit after tax fell from N2.579 billion to N1.315
billion driven by an increase in net financing costs related to short
term loans. Financing cost rose from N845 million to N1.743 billion.
Speaking on the results, Managing
Director/CEO, Guinness Nigeria Plc, Mr. Baker Magunda, said: “In the H1
ended December 31, 2019, Guinness Nigeria delivered results that
reflected a very strong second fiscal quarter performance despite
continued regulatory, competitive and inflationary challenges in the
operating environment. Strong growth in Guinness, spirits and
ready-to-drink (RTD) together with cost benefit from various
productivity initiatives has helped to mitigate other risks. Despite the
increase in excise duties on beer and mainstream spirits, the
competitive environment was such that there was lack of pricing
opportunities in the period to mitigate this.”
“Looking forward, we will continue to
drive our strategy which has deliberate focus on key categories, growing
spirits faster, continuing to innovate to meet consumer needs, and
driving productivity. Whilst we are conscious of the continued
challenging operating environment with double digit inflation and
pressured consumer spending, we are positive about the execution of our
strategy for the remainder of the 2020 financial year. We remain
confident of the resilience of our total beverage alcohol portfolio
strategy as a key driver of sustainable growth in the market,” he added.
No comments :
Post a Comment