International Breweries Plc, part of AB InBev, reported gross profit of N46.3 billion for the financial year 2021 despite the difficult economic crisis.
Gross profit, the company says, represents a 51.9% increase over 2020 profit, and it attributes this to volume growth and an increase in gross margins of +300 basis points from the previous year. ‘last year.
The company also recorded a revenue generation of N182.3 billion, representing a 33.3% increase in revenue for 2020.
During the period, International Breweries reported N8.8 billion as additional profit for 2021, reducing the pre-tax loss to N19.8 billion in 2021, representing a decrease of 30.6% from the loss.
In the first half of 2022, the company reported gross margin growth of 137% and gross margin expansion of +1,400 basis points. It delivered a positive operating profit by recording growth of N13.6 billion more than in the first half of 2021 amid cost headwinds in the operating environment.
It also reported a pre-tax profit of N1.8 billion in the first half of this year.
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Speaking at the 45th Annual General Meeting recently held in Lagos to take a look at its performance in 2021, Nnaemeka Achebe, Chairman of the Board, said the production volumes of the business continued to grow throughout the year despite the challenges.
He said Fortune magazine recently recognized AB InBev as the “World’s Most Admired Brewing Company”, which helps reinforce the company’s commitment to driving growth and shareholder returns.
Hugo Rocha, Managing Director of IBPLC, expressed his optimism that the company is strategically positioned to provide better service to its consumers and generate profitable income for its investors.
“The continued support of consumers who prefer quality products from our stables is reflected in the company’s outstanding financial performance. We remain committed to creating value and maintaining the trust of our stakeholders,” Rocha said.
He added, however, that the company started 2022 on a high note due to growing consumer demand for its brands.
Bruno Zambrano, outgoing chief financial officer, International Breweries Plc, said the IBPLC is focused on growing the business to return to profitability.
“After aggressive marketing and incisive research focused on identifying what our consumers want and where they consume our products, today we can safely say that we have gained market share to become number two of the Nigerian beer market,” he added.
William Adebayo, a shareholder, praised IBPLC’s board and management, noting that the company’s aggressive marketing has seen its products in high demand.