Nigerian Breweries Plc (NB), has announced that it will pay a total dividend of N2.43 per ordinary share of 50 kobo each, amounting to N19.4 billion for the financial year ended Monday, December 31, 2018.
Jordi Borrut Bel, the Managing Director of Nigerian Breweries Plc, made this disclosure last week during the company’s pre-AGM press briefing.
The CEO noted that because the company had earlier paid an interim dividend of N4.8 billion in October 2018, which amounted to 60 kobo per share, the final dividend payment amounts to N14.6 billion. This comes at N1.83 per share.
Despite a relatively poor performance recorded during the 2018 business year, Nigerian Breweries Plc is paying out 100 percent dividend. Bel said this development is as a demonstration of the company’s strong balance sheet and robust cash flow.
FY 2018 performance: Nigerian Breweries Plc had an unimpressive 2018, looking at their audited full-year 2018 results. Revenue for the period stood at N350.2 billion, which is a decrease of 4.3% from 2017 revenue of N365.7 billion.
The company also witnessed a dip in profit before tax in 2018. PBT was N29.4 billion in 2018 compared to N46.6 billion in 2017, which is a 36.9% decrease.
The company’s profit after tax (PAT) also dropped from N33 billion in 2017 to N19.4 billion in 2018; this represents a 41.2% decrease.
This drop in revenue and profit may as a result of stiffer competition from other brewers in the period under review.
About the company: Nigerian Breweries Plc is the pioneer and largest brewing company in Nigeria. It serves the Nigerian market and exports to other parts of West Africa. The firm engages in brewing, marketing, and selling of lager, stout, non-alcoholic drinks, and soft drinks in Nigeria.
The company was formerly known as Nigerian Brewery Limited before it changed its name to Nigerian Breweries Plc in 1990. The company was founded in 1946 and is headquartered in Lagos, Nigeria.
Nigerian Breweries Plc is currently traded ₦65.30 in the last trading session of the Nigerian Stock Exchange (NSE).