Guinness Nigeria Plc has reported a strong financial performance for the six months ended June 30, 2026, with profit after tax rising by 53.3 per cent to N25.30 billion, driven by robust revenue growth and improved operating performance despite rising operating costs.
The brewer’s unaudited financial statements filed with the Nigerian Exchange Limited (NGX) showed that revenue increased by 11.8 per cent to N265.04 billion in the first half of 2026 from N237.00 billion recorded in the corresponding period of 2025.
Cost of sales also rose by 12.8 per cent to N167.57 billion from N147.62 billion a year earlier, reflecting higher production costs. Nevertheless, gross profit climbed by 9.4 per cent to N97.47 billion from N89.38 billion in the same period of 2025.
Operating profit improved significantly, increasing by 27.2 per cent to N41.52 billion compared with N32.62 billion in the corresponding period of last year, supported by higher sales and stronger operating efficiency.
The company, however, continued to contend with elevated operating expenses. Administrative expenses rose to N16.23 billion from N15.48 billion, while marketing and distribution expenses increased to N40.19 billion from N37.81 billion.
Finance costs declined sharply to N4.36 billion from N12.44 billion in the prior year, providing significant relief to the company’s earnings. Finance income also improved substantially to N1.18 billion from N110.65 million.
As a result, profit before tax surged by 61.1 per cent to N38.34 billion from N23.83 billion in the corresponding period of 2025.
After accounting for an income tax expense of N13.03 billion, Guinness Nigeria posted a profit after tax of N25.30 billion, compared with N16.51 billion achieved in the first half of 2025.
Earnings per share consequently increased to 1,155 kobo from 754 kobo recorded in the same period last year.
The brewer also delivered an impressive second-quarter performance. Revenue for the quarter ended June 30, 2026 rose to N142.27 billion from N118.66 billion in the corresponding quarter of 2025, while quarterly profit after tax increased to N14.91 billion from N9.48 billion.
The company’s financial position remained stronger at the end of the review period.
Total assets rose to N255.34 billion as of June 30, 2026, compared with N245.18 billion at the end of December 2025. Non-current assets increased to N144.18 billion from N133.25 billion, driven mainly by higher investment in property, plant and equipment, which rose to N137.93 billion from N126.77 billion.
Current assets stood at N111.16 billion, slightly lower than N111.93 billion at the end of 2025, as cash and cash equivalents declined to N3.53 billion from N6.97 billion despite an increase in inventories to N53.60 billion.
Shareholders’ funds strengthened considerably, with total equity rising by 48.7 per cent to N64.25 billion from N43.32 billion at the end of December 2025. The improvement was supported by retained earnings, which increased to N15.70 billion from a negative balance of N5.22 billion.
Total liabilities declined to N191.09 billion from N201.85 billion six months earlier, reflecting a reduction in the company’s debt profile. Long-term borrowings fell to N6.71 billion from N7.08 billion, while current borrowings dropped sharply to N16.06 billion from N36.84 billion.
Cash flow from operating activities remained positive at N42.93 billion, compared with N40.93 billion generated in the corresponding period of 2025, demonstrating the company’s ability to generate healthy cash from its core business.
The company invested N16.75 billion in property, plant and equipment during the period, while financing activities recorded a net cash outflow of N29.73 billion, largely due to loan repayments, interest payments and dividend distribution.
