Nigerian Breweries Plc has released its Q1 2022 results revealing a profit of N13.61 billion. This reflects a 77.73% increase year on year.
The period in review witnessed a persistent increase in prices of goods and services, thereby resulting in inflationary pressures that affected both consumers and producers.
Despite the double-digit food inflation, the Q1 2022 profit was supported by cost management practices as production costs increased by a single-digit.
Key highlight of the report
- A cursory view of the result shows that the company’s profit was driven by significant sales of the company’s reportable segments.
- Higher sales was largely sustained by increase in beer prices accompained by slightly higher volume sales.
- The performance of the Company is also subject to seasonal fluctuations as a result of weather conditions and festivities.
- This suggests that the festivities during the period under review pushed sales impressively high as Revenue improved by 30.37%.
- In addition, the company also made money from interest on bank deposits to the tune of N73.5 million.
- Also, the company made N859 million from its other income streams.
- The company’s Advertising and sales expenses increased by about 96%, during the period. This suggests that the company has intensified its advertising and campaign efforts, which contributed to the impressive sales recorded during the period.
- A further look at the financial results showed that the company’s long-term borrowing stood at N3.54 billion. The company’s total assets are now at N521 billion, while net assets grew 8.18% to N185.98 billion.
Nigerian Breweries Plc had declared a dividend of N1.20 kobo for FY 2021, which was paid on April 22, 2022, while Earnings per share for the Q1 2022 period is N1.69, a 74% growth from N0.96 in Q1 2021.
The company last traded at N58.85 per share and has appreciated by 17.70% from year to date.
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