Nigeria: Nigerian Breweries posts a 31% lower profit after tax year-on-year

Nigerian Breweries announced that profit after tax decreased by 31 % from N7.35 million in 2003 to N5.1 million in 2004, this representing a decline of N2.266 million in the same period under review.

Nevertheless , the company recorded a modest volume growth and consolidated its market position achieving a commendable 60 % share.According to the chairman of the company, F.O.A Ohiwerei, the fundamentals of the business remain strong as reflected by the 10 % increase in operating profit compared to the previous year, in spite of the lull in the market.

The company’s operating result was showing a turnover of N73.6 million in 2004 higher than the N62.97 million in 2003, representing an increase of 17 %. The company’s profit before tax also dropped by 17 % from N10.99 million to N9.15 million, representing a fall of N1.84 million in the same period under review.

The company paid out higher tax in 2004 which stood N4.1 million compared with N3.64 million recorded in 2003, representing an increase of 12 %.The operating profit of the company stood at N14.4 million higher than the N13.06 million in 2003, even as the company’s percentage change increased by 10 %.

The chairman also announced a dividend of N3.02 billion which represents forty kobo (40k) per share. The company’s annual report shows that the issued and fully paid-up share capital of the company stood at N7.6 billion ordinary shares of 50 kobo each.