Nigerian Breweries bounces back with US$57.8M profit in H1 2025 

NIGERIA – Nigerian Breweries Plc has reported a net profit of N88.4 billion (US$57.8M) for the first half of 2025, marking a significant turnaround from the net loss of N85.2 billion (US$55.7M) recorded in the same period last year.  

The rebound was supported by a 54 percent year-on-year rise in revenue, which reached N738.1 billion (US$482.8M). 

The company attributed the revenue growth to stronger commercial execution, strategic pricing adjustments, and improved operational efficiency.

Operating profit surged to N151.9 billion (US$99.4M), almost three times higher than the previous year, while net finance expenses fell sharply by 87 percent, from N154.5 billion (US$101.2M) to N19.7 billion (US$12.9M).  

The company said the reduction followed the repayment of foreign exchange liabilities using proceeds from its recent rights issue. 

This performance reflects a strong recovery from 2024’s losses, which had been driven by foreign exchange translation losses and broader macroeconomic challenges. Analysts have pointed to stabilising exchange rates, a stronger naira, and easing inflation as key contributors to the company’s improved financial health. 

Managing Director Thibaut Boidin said the positive results demonstrated the company’s agility and robust fundamentals in a tough operating environment, which has been characterised by high inflation and limited consumer spending power.  

He noted that Nigerian Breweries had maintained strong commercial execution, implemented effective pricing strategies despite rising input costs, and optimised cost management and operational processes. 

Boidin added that the significant drop in financing costs, following the prudent application of rights issue proceeds, has improved the company’s balance sheet and reduced its exposure to high-interest rate pressures.  

He also noted that the elimination of foreign currency-denominated debt and currency stability had resulted in a net foreign exchange gain during the period, reversing previous losses. 

The company recorded a pre-tax profit of N132.2 billion (US$86.6M), compared to a loss of N116.3 billion (US$76.1M) in the first half of 2024. Gross profit nearly doubled to N311 billion (US$203.4), indicating stronger margins despite persistent cost challenges. 

Company Secretary and Legal Director Uaboi Agbebaku said the board remains committed to long-term value creation through ongoing cost optimisation, improved market execution, and brand equity enhancement.  

He added that the full integration of Distell Wines and Spirits Nigeria Limited is expected to further boost value for shareholders. 

Despite expected seasonal volume moderation in the third quarter, Nigerian Breweries intends to maintain its strategic focus to sustain momentum. 

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