Guinness Nigeria Plc has recorded a N15.7 billion pre-tax profit for the quarter ended March 31, in its unaudited financial statement.
This represents a 53.19% jump from the N10.2 billion recorded in the same period last year, showing a steady revenue growth, significantly lower finance costs, and a sharp rise in finance income.
According to the statement, the revenue rose to N122.7 billion from N118.3 billion, with the sale of brewed products in Nigeria accounting for 98.47%, while export sales made up the remainder.
Riding on the momentum of both its Q1 performance and a solid FY2025, the company’s board approved an interim dividend of N2.00 per share. Shareholders of record as of April 20, 2026, stand to benefit from a total payout of N4.38 billion, underscoring management’s confidence in sustained profitability.
However, rising production costs tempered margins. Cost of sales increased by 7.43% to N79.3 billion, outpacing revenue growth. As a result, gross profit dipped slightly to N43.4 billion, while operating profit edged lower to N17.17 billion.
The financial statement showed that the profitability at the bottom line was significantly bolstered by improvements in financing activities, even as operating pressures persisted. While administrative expenses settled at N8.1 billion and marketing and distribution costs rose to N18.4 billion, the company benefited from a sharp increase in other operating income, largely driven by by-product sales.
The report revealed that the finance expenses dropped markedly to N2.4 billion from N7.7 billion in the prior year, reflecting a reduction in borrowings. At the same time, finance income climbed to N1.04 billion, supported by foreign exchange gains. This combination of lower finance costs and stronger finance income ultimately lifted profit after tax to N10.3 billion, representing a 47.9% year-on-year increase, while earnings per share improved to 474 kobo from 321 kobo.
On the balance sheet, Guinness Nigeria Plc recorded modest but meaningful improvements in its financial position. Total assets declined slightly to N238.3 billion, with property, plant, and equipment remaining the largest component at N132.1 billion.
More notably, total liabilities reduced to N184.6 billion from N201.8 billion, reflecting lower debt levels and improved financial efficiency. This supported a stronger equity position, with total equity rising to N53.7 billion. Retained earnings also returned to positive territory at N5.1 billion, reversing a prior deficit and signalling a gradual strengthening of the company’s underlying financial health.
Despite the strong earnings, the market response was muted. Shares of Guinness Nigeria closed flat at N499 on April 14, 2026.
Still, the broader picture remains positive. The stock has gained over 42% year-to-date on the Nigerian Exchange, with trading volume surpassing 21 million shares—suggesting sustained investor interest even amid short-term caution.
Guinness Nigeria’s Q1 performance highlights a familiar but important trend: while cost pressures persist, disciplined financing and improved balance sheet management are helping to drive stronger profitability.