Zika Bobby
The Board of Directors of the Nigerian Breweries Plc has released the company’s trading results for the half-year ended June 30, 2020. According to its unaudited and provisional results filed with The Nigerian Stock Exchange, the Company announced a revenue of N152 billion for the period under review and Profit After Tax (PAT) of N5.7 billion.
In a release signed by Sade Morgan, Corporate Affairs Director, breakdown of the results shows a decline in revenue compared to the N170 billion recorded in the corresponding period of 2019.
The half-year results for the 2020 financial year show a strong balance sheet for the Company amid several headwinds that impacted its operations –including an increase in Excise Duty, rising inflation, and VAT raise from 5 per cent to 7.5 per cent, as well as the impact of the coronavirus (Covid-19) pandemic on businesses globally. Despite these challenges, Nigerian Breweries financial position shows stability and sustained profitability. To support the fight against the COVID-19 pandemic, the Company during the period under review, made various donations in cash and kind valued at about N531 million out of a phased commitment of N600 million to the Federal and state governments’ COVID-19 Relief Funds. The Board of Directors commended NB’s management for its efforts to mitigate the impact of the pandemic on the business, as well as its prudent management of resources as reflected in a 7 per cent reduction in expenses incurred on marketing, distribution, and administration.
The Board expressed confidence that the company is well-positioned to continue to deliver return on investment to shareholders.
According to the Board, the Company’s priority during this period “remains ensuring the health, safety and welfare of employees, customers and partners.”