Nigerian Breweries Posts N106bn as Net Loss in 2023

Nigerian Breweries Posts N106bn as Net Loss in 2023

Nigerian Breweries Plc has recorded a net loss of N106 billion for the year ended 2023, as against N13.93 billion posted in its 2022 financials, according to its regulatory filing in the stock market.

Mr Uaboi Agbebaku, Company Secretary, Nigerian Breweries Plc revealed this in the audited financial result of the company for the year ended 2023 sent to the Nigerian Exchange Ltd. (NGX)

Agbebaku said the company’s gross profit for the year under review also fell by 0.3 per cent to N212.5 billion, compared to N213.20 billion posted in the previous year.

He stated that the operating profit of the company declined by 15.3 per cent to 45 billion, as against N53 billion recorded in the corresponding year.

The company secretary said that the firm recorded a loss in operating profit due to higher input costs and one-off reorganisation costs despite strong and aggressive cost savings and other efficiency measures.

According to him, the company however was able to grow its revenue by nine per cent to N599 billion, compared to N551 billion posted in the previous year, which was aided by a positive price mix.

Agbebaku stated that the Nigerian business landscape experienced significant shifts in 2023, with a substantial impact on businesses and livelihoods nationwide.

He explained that the Naira notes redesign which resulted in a cash shortage that severely hampered social and economic activities nationwide set the tone for a turbulent year.

Agbebaku said: “High double-digit inflation rates with food inflation at more than 30 per cent and removal of subsidy on fuel.

“Coupled with the impact of the devaluation of the naira which resulted in a foreign exchange loss of N153 billion further exacerbated the already difficult environment for the populace and businesses.

“In a difficult operating environment, the Board will ensure that the company builds on its more than 77 years experience of operating in Nigeria to cope with current realities. Selloffs Provoke Spike in Nigerian Treasury Bills Yield

He said the company would continue to be resilient and forward-thinking, leveraging on its broad portfolio, strong supply chain footprint and passionate workforce to drive long-term value creation for its shareholders and other stakeholders. #Nigerian Breweries Posts N106bn as Net Loss in 2023