Nigerian Breweries Plc (“NB” Plc) is feeling the impact of a new excise duty rate for alcohol that came into effect in June as the brewing company reported a net profit decline of 38% to ₦14.8bn ($40.7 million) in the 9-months to the end of September.

The company said it paid 31% more in excise duty in the third quarter and 9% more in the 9-months to the end of September than it paid last year. Net revenue fell by 6.52% in the nine months to ₦238bn ($656 million) from ₦252bn ($694 million) and 11.23% in the third quarter alone.

The company also blamed increased competition and a one-off downsizing it took in the period, resulting in a net loss of ₦3.6bn in the third quarter, from ₦250m in 2017.

NB announced a payment of ₦4.8bn in dividend to its shareholders, which translates to ₦0.60 kobo per ordinary share of ₦0.50 kobo.

Exchange Rate: ₦363 = $1