Guinness records N53.8b turnover in half-year results
Category: Capital Market
For the half-year ended December 31, 2009, Guinness Nigeria Plc has declared unaudited turnover of N53.8 billion, against N43.4 billion recorded within the same period in 2008. Profit after tax, however, dropped from N8.1billion in 2008 to N7.2 billion within the period under review.
The management of Guinness in its report to the council of the Nigerian Stock Exchange (NSE), explained that it had invested significantly behind the brand portfolio to drive growth. It pointed out that there that there has been continued investment in capacity expansion, combined with "cost pressures resulted in a year on year decline in profit after tax for the half year."
For the first quarter ended September, 30, 2009, the company announced N20.6billion turnover against N16.9 billion recorded in 2008. Profit after tax also declined from N2.6 billion in 2008 to N1.6 billion in 2009. Reviewing the 2008 financial year ended June 30,2009, shareholders of the company approved N11.1 billion dividend amounting to N750 kobo per share.
Highlights of the results, approved at the board meeting held on Thursday, September 4, 2009 includes a turnover of N89 billion which represents an increase of 29 per cent over the previous year results and a trading profit of N19.81 billion, an increase of 25 per cent over the previous year. The earnings per share also increased by 14 per to 918 Kobo. Profit before tax grew by 11 per cent to N19 billion up from N17 billion.
Guinness Chairman, Tunde Salvage, in his submission at the yealy general meeting recently, said the company has brought innovation into its business adding that Nigeria is now the second largest market for Guinness in the world. He explained that with over 80,000 shareholders Guinness has put necessary structures in place aimed at improving on its performance.
The Managing Director, Mr. Devlin Hainsworth, who attributed the company's performance in the 2008 financial year to "management winning strategy" said, "it is noteworthy that despite the harsh economic climate in the global and Nigerian economies and increased competitiveness, the shares of Guinness Nigeria has remained stable and attractive to investors. This demonstrate the quantum of confidence, which the discerning public has in Guinness Nigeria Nigeria Plc"