Guinness Nigeria records five per cent increase in revenue

GUINNESS Nigeria Plc has recorded has recorded a five per cent increase in revenue, while gross profit was up by two per cent in its second half year operations last year.

   The company’s Managing Director/CEO, John O’Keeffe disclosed this yesterday. 

  “We experienced improvement in performance during the half as revenue for the second quarter showed a growth of 13 percent compared to –six percent in the first quarter. The negative gearing due to mix drove a net sales growth of five recent”, he said.

  The results, which were released to the Nigerian Stock Exchange, also disclosed a marked increase in one off costs and administrative and marketing expenses.     

   Speaking on these, the Finance and Strategy Director, Guinness Nigeria Plc., Ron Plumridge, remarked: “Some of the key cost drivers over the period are the significant investments made to support our route to consumer optimisation and restructure our organisation and will support future growth. These strategic investments, which have been classified as one off costs in the income statement, have depressed operating profit for the half. In the second half, we plan to sustain volume growth but recognise there are significant external uncertainties we will need to continue to manage.”

  The Chairman of Guinness Nigeria, Babatunde Savage,  said: “The Board is confident that we are making the right investments in the company to ensure our long term competitiveness, and continues to support the management in its efforts to build a business that can win in the market.”

  Guinness Nigeria was established in 1962 with Nigeria being the first country to have a Guinness brewery built outside of the British Isles. Products from the brewer’s stables include Guinness Foreign Extra Stout, Harp Lager Beer and Malta Guinness.