Guinness Nigeria Plc has reported robust revenue growth of 111% year-on-year for Q1 2024, as detailed in its unaudited financial results for the quarter ending September 30, 2024. Revenue increased from N59.5bn in Q1 2023 to N125.9bn, supported by new product innovations, increased consumer engagement, and expanded retail presence. This growth highlights the strength of the company’s diverse portfolio, focused on connecting with consumers in Nigeria’s evolving market.
Despite revenue gains, Guinness Nigeria faced substantial cost challenges in Q1 2024, primarily due to inflation and the Naira’s depreciation, which drove a 170% increase in the cost of sales. This sharp rise in costs, combined with currency volatility, led to an operating loss before tax of N16bn, which was mitigated to a net loss of N12.1bn due to favorable tax provisions.
Dr. Omobola Johnson, Chair of the Board, commented on the results, noting that the company’s brand resilience and strategic positioning have bolstered revenue performance even amidst Nigeria’s challenging macroeconomic environment. Johnson affirmed the Board’s confidence in management’s ability to enhance operational efficiency, improve cost management, and build value for stakeholders.
Girish Sharma, Managing Director of Guinness Nigeria, acknowledged the macroeconomic hurdles impacting profitability, stating, “Our immediate focus is on operational efficiency and restoring profitability while delivering more value. We are confident that these measures will position Guinness Nigeria for a sustainable recovery.”
Looking forward, Guinness Nigeria aims to leverage its strong brand lineup, improve local sourcing, and continue driving innovation. By focusing on business resilience and capitalizing on opportunities within Nigeria’s dynamic beverage sector, the company remains optimistic about navigating current economic challenges while providing long-term shareholder value.
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