High operating costs accounted for the slump in the profitability of Guinness for the financial year ended June 30th, 2015. This is inspite of the 9% growth in revenue in the same period. The profit for the period declined from N9.6 billion in 2014 to N7.9 billion in 2015, an 18% decline.
These and others were revealed in the published audited accounts of the brewer for 2015. While revenue improved by 9% from N109 billion to N118 billion, operating costs rose 22% from N93.8 billion to N103.5 billion between 2014 and 2015.
Net assets of the company maintained an upward swing closing at N48.3 billion from N45 billion, an increase of 7% over the period.
Despite the reduced profit for the period, the indices are very much positive for the company and current financial year
Guinness Nigeria is a premium brewer with leading brands and products in the market and has been an industry leader since incorporation 1962
Despite the reduced profit for the period, the indices are very much positive for the company and current financial year estimates will outperform those of previous years
Their flagship product, Guinness Stout, is a constant brand in all shops and their latest addition, Orijin, climbed to the number one spot in its category within months of introduction.