Champion Breweries profit surges 119% to US$1.14M in 2025
Profit was supported by strong sales growth, margin expansion and the strategic acquisition of Bullet beverage brands across African markets.
NIGERIA – Champion Breweries Plc has reported a 119% increase in profit after tax (PAT) to US$1.14 million (₦1.79 billion) for the year ended December 31, 2025, as strong revenue growth and finance income supported earnings despite rising borrowing costs.
The Uyo-based brewer recorded revenue growth of 43% to US$19 million (₦29.8 billion), driven by increased sales of its flagship Champion Lager Beer and Champ Malta brands.
Cost pressures remained present during the period, but the company reported that cost of sales increased by 18%, significantly slower than revenue growth.
This contributed to improved profitability, with gross profit rising more than 76% year-on-year. Gross margin widened to 52% in 2025 from 42% in 2024, reflecting stronger pricing discipline and improved operational efficiency.
Operating profit also more than doubled, increasing 107% to US$3.08 million (₦4.83 billion) compared with US$1.47 million (₦2.3 billion) in the previous year.
The results come as the brewer continues expanding its product portfolio and geographic footprint following the acquisition of the Bullet brand assets, a deal that extended the company’s reach to 14 African markets.
According to the company, the transaction was completed in phases, with a 10% deposit paid in August 2025 and the balance settled in February 2026.
The acquisition enables the brewer to enter the alcoholic and energy beverage segments while broadening its portfolio beyond traditional beer offerings.
Finance income rose significantly to US$280,000 (₦438 million) from US$10,000 (₦15.6 million) in 2024, while finance costs increased to US$1.67 million (₦2.62 billion) as the company accessed new borrowings to fund expansion activities.
As a result, profit before tax increased by 108% to US$1.69 million (₦2.65 billion) during the period. Basic and diluted earnings per share rose to 20 kobo, compared with 9.1 kobo recorded in 2024.
The board of directors has recommended a dividend of 7 kobo per share, up from 6 kobo per share in the previous year, subject to shareholder approval at the company’s 2026 annual general meeting.
The company also reported a significant increase in borrowings as it financed the expansion strategy linked to the Bullet brands. Non-current borrowings reached US$18.9 million (₦29.6 billion), while current borrowings stood at US$18.8 million (₦29.4 billion), compared with no borrowings recorded in the prior year.
Total liabilities increased to US$44.2 million (₦69.3 billion) from US$5.93 million (₦9.29 billion) previously.
Cash generated from operating activities rose to US$5.38 million (₦8.43 billion), while net cash used in investing activities widened to US$10.6 million (₦16.6 billion), largely due to capital expenditure of US$4.65 million (₦7.29 billion) and the investment deposit for the brand acquisition.
The company described the results as its strongest earnings performance on record, achieved while increasing capital investment and expanding into new beverage categories.
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