Guinness Nigeria Plc has released its 9months unaudited report with revenues rising marginally by just 2% to N88billion. Gross profit remained nearly flat at N40billion during the period followed by operating profit which was also flat at N13.5billion (2011: N13.67billion). Pre-tax profits at the end of the period was N11.3billion, 17% lower than the N13billion posted same period 2012. Earnings per share at the end of the period was 507kobo a 19% drop year on year.
Key Highlights
S,G&A as a percentage of Gross profit is still stubbornly high at 65.5%
Finance Charges as a percentage of operational profit tripled to 18% during the period compared to 6% in 2012
The company increased its borrowing to N27billion during the period. The company’s debt is 65% higher than its Equity
Return on Equity is still good at 20% so is Return on Assets
The beer market is currently very competitive. Though, the company blames this result on decline in consumer spending
Share price remained flat at N280
Guinness 9 months earnings for 2013 was posted on the website of the NSE
GUINNESS POST LOWER THAN EXPECTED 9MONTHS PRE-TAX PROFITS FOR 2013: https://t.co/QJxyu0hJEn