Nigerian Breweries Plc, the country’s largest brewer, has reported a profit of ₦85.5 billion for the first nine months of 2025, overcoming a ₦2.9 billion loss in the third quarter. The brewer disclosed this in its financial report to the Nigerian Exchange (NGX) on Wednesday, underscoring a remarkable turnaround from the ₦149.5 billion loss recorded during the same period last year.
According to the filing, the third-quarter loss stemmed from a ₦6.08 billion one-off impairment charge linked to the full integration of Distell Wines and Spirits Nigeria Limited, recently absorbed into the group’s operations. Despite this temporary setback, the company’s performance was buoyed by robust operating profits, improved cost efficiency, and reduced finance expenses.
The brewer’s turnover climbed to a record ₦1 trillion, driven by strong pricing strategies and gradual volume recovery amid Nigeria’s high inflation and exchange rate challenges. Gross profit surged by 97.8 percent to ₦415.15 billion, compared to ₦209.9 billion a year earlier. However, the cost of sales rose by 26 percent to ₦631.23 billion, reflecting persistent pressure from input and logistics costs.
Operating expenses increased by 56.7 percent to ₦93.98 billion, largely due to integration-related restructuring costs from the Distell acquisition and intensified marketing activities. Nevertheless, the company’s EBIT and EBITDA margins improved to 3.6 percent and 9.5 percent, respectively, supported by operational efficiency and disciplined cost management. Meanwhile, net finance charges dropped by 81.9 percent to ₦14 billion, helped by a reduction in debt costs and a net foreign exchange gain of ₦2.94 billion.
In a statement, Nigerian Breweries attributed the earnings rebound to its 2024 Rights Issue, which strengthened its balance sheet, as well as strategic pricing and efficiency initiatives. “Despite economic headwinds, the Group delivered strong top-line growth. We expect a rebound in Q4, driven by festive demand and continued operational excellence,” the company said, projecting a positive full-year 2025 outlook.
source: business day