Nigerian Breweries Limited has demonstrated remarkable resilience amidst a severe economic downturn, achieving a 73% increase in revenue in the first half of 2024. The unaudited financial report obtained by 9AM News Nigeria revealed a 46% rise in sales and a 34% increase in profits.
This significant growth occurred despite challenges such as soaring inflation, naira depreciation, rising living costs, and a sluggish economy. In the newly released financial report for H1 2024, Managing Director and CEO Hans Essaadi stated, “In the six months ending June 30, 2024, Nigerian Breweries showed resilience and recovery, as reflected in our results despite the challenging external environment characterized by high inflation and increasing operating costs.”
“Our revenue grew by 73% in the half-year compared to the same period in 2023, driven by strategic pricing, innovation, volume growth, and market recovery. While the cost of sales, distribution, and administrative expenses increased by 46%, largely due to inflation and forex devaluation affecting imported materials, we continue to invest in our brands and categories, supporting market recovery.”
Plans For Infrastructure Development
Essaadi also announced plans to inject N600 billion into the company for infrastructure development and growth. He explained, “The funds will be used to eliminate foreign exchange-denominated debts and reduce local debts, mitigating our exposure to economic challenges. Through cost-saving initiatives, we recorded a 34% increase in operating profit, highlighting the strength and resilience of our operations.”
He added, “Despite the challenging operating environment with double-digit inflation and reduced consumer spending, we remain focused on delivering value to our shareholders and contributing to Nigeria’s economic development.”
In another statement obtained by 9AM News Nigeria, the company’s Legal Director and Secretary, Mr. Uaboi Agbebaku, speaking on behalf of the Board, affirmed, “The Board is confident in our long-term strategy to deliver value to shareholders and remains committed to winning with Nigeria through people development, strategic innovation, operational efficiency, and community impact.”
