International Breweries Plc recorded a profit before tax of N85.1 billion in the 2025 financial year, marking a strong recovery from the N111.8 billion loss posted in 2024.
This is according to the company’s latest financial statements published on the Nigerian Exchange, which present its 12-month and fourth-quarter performance for 2025.
According to the financial statements, the turnaround was largely driven by strong revenue growth, with full-year sales rising to N620.1 billion, representing a 26.83% year-on-year increase.
In addition to higher revenue, lower foreign exchange losses, increased finance income, and a sharp reduction in finance costs combined to support the return to profitability.
Key highlights (FY 2025 vs FY 2024)
- Revenue: N620.1 billion, up 26.83%
- Gross profit: N204.4 billion, up 55.65%
- Operating profit: N73.7 billion, compared with a loss of N91.07 billion
- Finance income: N18.08 billion, up 29.07%
- Finance costs: N6.7 billion, down from N34.7 billion
- Profit before tax: N85.1 billion, compared with a loss of N111.8 billion
Driving the numbers
The company’s revenue was generated primarily from the sale of its beverage products to customers.
- Of the N620.1 billion recorded for the full year, the fourth quarter contributed N147.5 billion, accounting for 23.8% of total revenue.
- Cost of sales increased to N415.7 billion from N357.6 billion in the prior year, largely due to higher material consumption and allocated overheads.
- Despite this, gross profit rose significantly to N204.4 billion from N131.3 billion in 2024.
On the expense side, administrative, marketing, and distribution costs increased to N128.1 billion from N108.4 billion.
However, this was more than offset by a sharp decline in other expenses—mainly contributed by foreign exchange losses—which fell to N2.9 billion from N113.5 billion.
- As a result, operating profit rebounded to N73.7 billion in 2025, compared with an operating loss of N91.07 billion in the previous year, supporting the strong improvement in bottom-line performance.
On the balance sheet, total assets rose slightly to N741.5 billion from N727.8 billion in 2024, with property, plant, and equipment remaining the largest asset class at N339.8 billion.
- Total equity also strengthened, increasing to N512.2 billion from N448.9 billion.
- Share premium accounted for the bulk of equity at N673.1 billion.
More favorably, the company further improved its retained losses, narrowing them to N178.6 billion from N241.9 billion a year earlier.
Market reaction
The market has yet to fully react to the results.
International Breweries’ shares are down 3.79% month-to-date in February 2026, trading at N13.95.
While the short-term price movement remains muted, investors may look for more attractive entry points, with the company’s improved fundamentals supporting a more positive outlook going forward.
