I sort of hate headlines like this but then this is what the numbers say. International Breweries released its “12 months unaudited” accounts posting a revenue of N13,29 (2011: N9.9billion). It also posted a profit after tax of N2.05billion (2011: N147.3million). The results represents an impressive 24.9% on average equity (ROAE) and a 9.86% return on average assets. They also generated about N8billion in operating cash flows and finished the year with a cash pile of about N2billion. The company has an unimpressive negative working capital of over N3.7billion meaning it may continue to rely on overdrafts to fund its operations. It also is an indication that revenue growth is currently hinged on their ability to hold on to suppliers payments.
Their share price closed at N24 yesterday (21/2/2013) representing a P.E ratio of about 38X. Their share price was just N5.14 back in February 2012. For those interested in buying the stock, you may read my last review of the company on my Blurb Category. Their earnings report is below;