Guinness Nigeria Plc said that its revenue and profit continued to face market challenges in the first half of the year.
The drinks company reported a tepid rise in sales for the six months to the end of December. Sales rose by 1% to N68.3bn from N67.8bn in the same period in 2019.
Guinness Nigeria Plc said it has re-signed football great Rio Ferdinand as brand ambassador for a second season as it unveils a new football campaign.
In a statement, the company said that the campaign was on the Guinness Night Football, which would feature a series of diverse and immersive football experiences.
Guinness Nigeria Plc has said that the ongoing plans by the Federal Government to raise the Value Added Tax (VAT) rate from 5% to 7.5% would have a negative effect on businesses in the country.
The company made this known when its chairman, Mr. Babatunde Savage spoke at the company’s 2019 Annual General Meeting in Abuja recently. He said that a VAT increase would negatively impact manufacturing firms in the country, increase the cost of doing business and further reduce the disposable income of Nigerians.
Guinness Nigeria Plc said that a challenging macroeconomic environment, coupled with competition, unfavourable mix performance and excise duty increases on both beer and mainstream spirits negatively impacted its first-quarter results ending in September.
Revenue for the drinks company fell by 4% to N26.9bn from N28bn in the same period in 2018. Operating Profit declined by 59% to N682m, from N1.67bn, driven by the drop in revenue.
The Federal Government has denied request by Guinness Nigeria Plc, Promasidor Nigeria Limited and thirteen other firms seeking tax relief, also known as “Pioneer status” under the Industrial Development Income Tax Act.
Pioneer status is a tax incentive from the Federal Government which exempts companies from income tax for a period of time. It is also known as a tax holiday and is meant to encourage investments in new industries or products that do not already exist in the country.
As countries across the world sustain the drive towards mitigating the dangers of non-degradable waste, participants at the CEO Roundtable on Sustainability have hinted that Nigeria stands a good chance of bending the curve in good time, only if the private and public sector can collaborate strategically. Aside policy making, the panel recommended strategic timelines for executing each step of the national plan on circular economy.
Guinness Nigeria Plc has stated its must-dos in the new financial year which began in July to include: winning with a total beverage portfolio, strengthening and accelerating its premium core brands, winning in value and mainstream, innovating at scale to make new leads, building and constantly extending its route to consumer, driving out costs constantly to invest in growth and guaranteeing its plan with the right people and capabilities.
Guinness Nigeria Plc has introduced its newest brand, Guinness Smooth stout into the market.
According to the company, Guinness Smooth is a new expression of Guinness developed by Guinness master brewers, local and international, to deliver an exciting and stand out beer that is perfect for casual social occasions.
Commenting on the new brew, Adesina Adewole, Guinness Nigeria master brewer adds: “Guinness Smooth is a perfect partner for spicy foods and BBQ. The smooth refreshing taste balances the spicy heat, while the distinctive characterful flavour ensures Guinness Smooth is a beer that doesn’t get overshadowed by the food.”
Guinness Nigeria Plc has reported declines in revenue and profit for the full-year ending on 30th June 2019.
The company blamed sluggish sales in the lager and ready-to-drink segment as well as the impact of the second wave of a new excise duty on alcohol and tobacco that went into effect in June 2018 for the lower results. Revenue declined by 8% to N131.5bn from N143bn in the previous year.
Leading premium malt drink, Malta Guinness, from the stables of Guinness Nigeria Plc, has been recognised as “Africa’s Best Premium Non-alcoholic Malt Brand of the Year at the 2019 Edition of the African Brand Leadership Merit Awards held, which on Friday at Sheraton Hotel, Ikeja, Lagos.
The Chairman of the Organizing Committee, Dada Ajai-Ikhile, said Malta Guinness was recognized for its relentless effort in fueling the greatness of Africans. He noted that the brand was selected from a pool of other brands in its category through an independent, thorough and painstaking research across the African market.
