Guinness Nigeria Records 31% Revenue Growth

 Guinness Nigeria Plc has announced a 31 per cent year-on-year revenue growth for the financial year ended June 30, 2024.

A statement by Guinness , said the strong performance was more pronounced in the second half of the year, with revenue growth accelerating to 41 per cent, up from 20 per cent in the first half.

It stated that the achieve­ment was notable given the challenging macroeconomic environment, characterised by declining consumer disposable income due to all-time high in­flation, currency devaluation, fuel subsidy removal, and food insecurity.

The firm added 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.

“Despite these accomplish­ments, the company faced the increased cost of sales, which rose by 37 per cent due to infla­tion-driven hikes in raw materi­al prices, unprecedented utility cost increases, and currency devaluation. Nonetheless, op­erating profit rose by nine per cent propelled by strong reve­nue performance and intensi­fied productivity gains across the organisation,” part of the statement read.

Adebayo Alli, the Managing Director of Guinness Nigeria, expressed confidence in the company’s trajectory, saying, “We are extremely proud of our team’s ability to deliver such strong financial performance amid significant macroeco­nomic headwinds.

“Our strategic focus on cat­egory mix optimisation, inno­vative product offerings, and targeted price adjustments has been key to navigating these challenges and driving growth.”

“Looking ahead, we are committed to our mission of transforming Guinness Nige­ria with a strong focus on win­ning differently as we move into FY25. 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.

“The continued currency devaluation posed significant challenges, with the spot rate moving from N759.03/$1 at the start of the year to N1,540/$1 at the end of the financial year. This resulted in a substantial unrealised forex loss and a loss before tax of N73.68b. Despite these challenges, the board re­mains confident in the compa­ny’s well-crafted strategy.”

Dr Omobola Johnson, the chairman of the firm, 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.