Champion Breweries Plc has released its audited financial statements for the half year ended June 30, 2025, reporting a pre-tax profit of N4.04 billion.
This marks an upgrade from the earlier unaudited figure of N3.4 billion and a strong year-on-year rebound from the N232.6 million loss recorded in the same period of 2024.
A quick review shows that stronger sales, coupled with well-managed finance costs and improved finance income, were key drivers of the turnaround.
Key highlights:
- Revenue: N15.9 billion, +66.92% YoY
- Cost of sales: N7.4 billion, +25.34% YoY
- Gross profit: N8.4 billion, +136.32% YoY
- Operating profit: N4.4 billion, +548.04% YoY
- Pretax profit: N4.04 billion vs (N232.6 million loss)
- Total assets: N25.1 billion, +17.75% YoY
- Retained earnings: N6.04 billion, +55.88% YoY
Strong top-line
Champion Breweries recorded revenue of N15.9 billion, up from N9.5 billion in the same period last year, driven by strong demand for its brewed products.
As expected, the cost of sales rose alongside revenue, climbing 25.34% year-on-year to N7.4 billion.
Despite this increase, gross profit still surged, reaching N8.4 billion, more than double the N3.5 billion recorded in the first half of 2024.
Operational performance
Less favorably, operating expenses increased. Selling and distribution costs rose to N2.2 billion, up 20.59%, while administrative expenses spiked to N1.75 billion, representing a 65% jump.
Despite this, operating profit still recorded strong growth, rising to N4.48 billion from N692.2 million in the previous year.
According to the audited statement, the company posted finance income of N139.9 million, a notable improvement from the same period last year when no finance income was recorded.
With finance costs significantly lower at N585.2 million, down from N924.9 million a year earlier, the company’s bottom line strengthened further.
Hence, pre-tax profit reached N4.04 billion, rebounding from a loss of N232.6 million, while post-tax profit stood at N2.73 billion.
Balance sheet
On the balance sheet, the company’s total assets rose to N25.1 billion, up 17.75%, driven largely by property, plant, and equipment valued at N14.7 billion.
On the equity side, total equity stood at N14.2 billion, up from N12 billion, with retained earnings of N6.04 billion making up the largest portion.
Total liabilities increased to N10.9 billion from N9.2 billion, led by trade and other payables of N3.8 billion and borrowings of N3.6 billion.
On the Nigerian Exchange, the company is priced at N13.50, with a year-to-date performance of 254%.
