Nigerian Breweries declares N3.2 billion interim dividend for shareholders

Abubakar Yunusa ABUJA

The Board of Nigerian Breweries Plc has approved an interim dividend of N3.2 billion for its shareholders. 

The proposed dividend payout represents 40 kobo per ordinary share of 50 kobo in the company’s share capital.

In a statement seen by Peoples Daily, the brewer explained that the dividend will be paid on Thursday, 1st December 2022 to all shareholders registered in the books of the Company as of close of business on Wednesday, 23rd November 2022.  

The dividend payout would be subject to tax deductions at the appropriate rates. 

The statement also noted that the register of members and transfer books will be closed from Thursday, 24th November 2022 to Wednesday, 30th November 2022. This is to enable the preparation of an updated Register of Members.

Meanwhile, the company has also announced its unaudited and provisional results for the third quarter (nine months) that ended 30th September 2022. The financial report showed an 80.1% growth in profit after tax to N14.7 billion from N8.6 billion in 2021. 

Revenue grew by 27.2% to N393.4 billion from N309.2 billion in 2021.

The brewer’s cost of sales for the period grew by 20.22% to N238.9 billion from N198.7 billion. Basic Earnings Per Share (kobo) stood at 182 kobo in 2022 from 107 kobo in 2021, indicating 80% growth. 

According to the management, the last three months saw the return of market seasonality characterized by lower volume performance. 

“The market decreased by high single-digit reflecting pressure on consumer disposable income as well as heavy rains and foods.  

Nevertheless, we performed relatively well in the period led by our premium portfolio of Heineken, Tiger, and Desperados. Revenue growth in the quarter driven by pricing was offset by higher input costs arising from an increased rate of inflation and higher energy cost. 

Despite the volume and cost challenges in the third quarter, our total revenue for the nine months ended 30th September 2022 grew by 27% due partly to our pricing strategy and performance in the first half of the year.  

Similarly, our Operating profit grew by 44% while Profit after Tax went up by 80%. While being cautious about the development of input costs and consumer demand in the remaining period of 2022, the Board remains confident that the Company is well positioned to take advantage of any upswing in the market and maintain our leadership position”.