Prices of soft drinks rise amid FX woes, inflationary pressure

Prices of soft drinks are on the rise as the industry continues to grapple with the fallout from macroeconomic headwinds induced by the drop in oil price. Nigerian Bottling Company (NBC), the More »

How brewers are selling beer with folklore

As Nigeria’s recession deepens and consumers pockets are squeezed, majority of those still drinking have shifted their beer preferences to value or low cost brands. Nigerian Breweries Plc, the country’s leading brewer More »

Category Archives: Beer

Guinness Nigeria refutes Pharma Deko’s debt claims

Guinness Nigeria Plc, in a statement released to the media on Friday said it had responded to a court process initiated by Pharma Deko Plc, a pharmaceutical company, which alleges that the brewer owes it N176m representing an arbitral court award made against the company and in favour of Pharma Deko. The suit also suggests that Guinness Nigeria is unable to pay the debt.

Guinness Nigeria releases 2016 Sustainability Report; Outlines future goals

Guinness Nigeria Plc, on Wednesday released its 2016 Sustainability Report, which provides information on the company’s performance on various aspects of its operations and sets out its sustainability goals for the future.

Heineken full-year results lifted by strong growth in Mexico, Vietnam

Heineken N.V. on Wednesday reported a 1.4% rise in revenue for the 2016 financial year (Jan – Dec) to €20.8bn ($21.94bn) compared to €20.5bn in 2015. The company said its revenue was bolstered by strong sales in Vietnam and Mexico. It noted that it sold 3% more beer in 2016 with the biggest increase coming from Asia.

The Dutch brewer said that sales also rose in Europe, especially in France, Italy, Poland, Spain and Mexico, which offset declines in Nigeria, the Democratic Republic of Congo (DRC) and Russia, where it has been battling macroeconomic headwinds.

Heineken buys Kirin’s Brazil unit

Heineken N.V said on Monday it has agreed to acquire the loss making business of Japanese brewer Kirin Holdings Limited Brazil unit for $706m. Including debt, the Dutch brewer said it would pay €1.025bn for the transaction.

Kirin said it was exiting the Brazilian beer market citing a “stagnant and competitive” market.

Considering various risks associated with (the) Brazilian economy and (the) stagnant and competitive situation in (the) Brazilian beer and soft drink markets, Kirin has come to the conclusion that there are certain limitations in transforming Brasil Kirin into a sustainable and high-profitable business on its own,” it said in a statement.

Nigerian Breweries holds Annual distributors Award; promises trade partners sustained support despite challenges

Nigerian Breweries Plc, held its 2017 Edition of Distributors and Trade Partners Award last Friday at the Eko Hotels and Suites, Victoria Island, Lagos.

The award ceremony which is an annual event honours distributors and key transporters of the brewing company who excelled in the course of their business partnerships in the last year.

Avon Crowncaps posts loss despite strong revenue growth in Q3

Avon Crowncaps & Containers Nigeria Plc, makers of screw caps and metal containers for the beverage industry and others said that revenue for the third quarter (Oct – Dec) rose 67% to N6.4bn, from N3.8bn in the prior period.

However, a higher cost of sales of N5.8bn, an 87% increase from the prior year’s N3.1bn left little gain in the form of operating profit to cover expenses.

International Breweries narrows loss in Q3 as low FX liquidity linger

International Breweries Plc (“IB Plc”), the Ilesha-based brewer owned by Anheuser-Busch InBev (AB InBev) on Tuesday reported a net loss of –N473m in the first nine months of its financial year (Apr – Dec 2016), a much smaller loss when compared to the first quarter and half-year when it recorded an abysmal –N1.7bn and –N1.9bn loss respectively.

FX losses dampen Guinness Nigeria’s revenue growth

Guinness Nigeria Plc, reported its first-half results (6-months) on Thursday, for the period ending 31 December 2016.

The brewer of Foreign Extra Stout, Malta Guinness, among others posted a strong 19% revenue growth in the period under review to N59bn, from N50bn it recorded in the same period a year ago.

However, the company’s strong first-half showing was dampened by unrealized foreign exchange losses which drove up net finance cost by 166% to N4.6bn, from N1.2bn in the previous year. The resultant effect was a net loss of N4.67bn. In the same period a year ago, Guinness Nigeria posted a positive N1.2bn in profit.

Weak pound help Diageo post stronger first-half results

Diageo Plc reported on Thursday a better than expected half-year results, with sales rising 15% to £6.42bn from £5.61bn a year ago.

The company said that profits rose 8% to £1.51bn from last year’s £1.41bn. The spirits maker noted that a 17% drop in the value of the British pound following Brexit vote had a positive impact on earnings, adding around £850m ($1.07bn) to net sales. On organic basis (stripping out the effects of currency movement on revenue and profits), sales rose 4.4% while operating profits grew 4.4%.

Vendor files petition with AG against Nigerian Breweries

Nigerian Breweries Plc (NB) said on Tuesday that one of its former petroleum vendors has filed a petition with the Attorney General of the Federation against some members of its management.

In a released statement signed by NB’s Corporate Affairs Adviser, Kufre Ekanem, the company said that TMDK oil Traders, a vendor who had been under a three year contract to supply petroleum products to the company had filed a petition with the Attorney General of the Federation and the Minister of Justice.