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Guinness Nigeria reports 31% revenue growth in 12 months amid economic woes

Guinness Nigeria Plc has achieved 31% revenue growth for the financial year ending June 30, 2024, despite the challenging macroeconomic environment.
Guinness Nigeria [Vanguard News]
Guinness Nigeria [Vanguard News]

Guinness Nigeria Plc has achieved 31% revenue growth for the financial year ending June 30, 2024, despite the challenging macroeconomic environment.

The Managing Director of Guinness Nigeria, Adebayo Alli, via a statement on Friday in Lagos, expressed confidence in the company’s trajectory. Alli said the company posted a revenue of ₦299.48 billion during the review period against ₦229.44 billion posted in the comparative period of 2023.

He stated that while the company delivered a remarkable 31% year-on-year revenue growth in 12 months that ended June 30, 2024, its revenue growth accelerated to 41%, up from 20% in the first half of the year.

This achievement, he noted, was particularly notable given the challenging macroeconomic environment, characterised by declining consumer disposable income, inflation, currency devaluation, fuel subsidy removal, and food insecurity. He revealed that the company’s revenue growth was driven by an optimised category mix, innovative offerings, and targeted price increases to offset rising costs.

According to him, non-alcoholic malt, ready-to-serve beverages, and international premium categories demonstrated resilience, recording notable growth compared to the previous year.

Alli said the company also intensified its trade and consumer engagement efforts through digital platforms, activations, and captivating brand visibility.

“In spite of these accomplishments, the company faced increased cost of sales, which rose by 37% due to inflation-driven hikes in raw material prices, unprecedented utility cost increases, and currency devaluation.

“Nonetheless, operating profit rose by 9%, propelled by strong revenue performance and intensified productivity gains across the organisation.

“We are extremely proud of our team’s ability to deliver such strong financial performance amidst significant macroeconomic headwinds.

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

“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,” he said.

Chairman, Board of Directors, Guinness Nigeria, Dr Omobola Johnson, said the company remained committed to continuously evaluating its strategy against the evolving business landscape. This, she said, would ensure it delivers returns to its shareholders and creates long-term value for all stakeholders.

“Our performance this year demonstrates the resilience and adaptability of our business in the face of economic challenges,” she added.

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