Highlights
- Revenue increased by 10% Year-on-year (YoY) from ₦354.51 billion in Q2 2025 to ₦390.67 billion in Q2 2026.
- Gross profit increased by 21% YoY from ₦144.43 billion to ₦175.01 billion, while gross margin improved from 41% to 45%.
- Operating profit increased by 15% YoY from ₦66.63 billion to ₦76.61 billion.
- Profit after tax declined by 16% YoY from ₦43.87 billion to ₦37.01 billion.
Outlook
WSTC Research expects continued investments in brand visibility and distribution, which is necessary to protect existing market share and continued market penetration. The disinflationary trend in the Nigerian macroeconomic environment is expected to increase consumer purchasing power. The effect of this increase in purchasing power is an expected increase in Nigerian Breweries Plc products. A significant uptick in consumption is expected in Q4, particularly as we approach the end of the year and the festive season.
The balance sheet is in a good position. This is a testament to their recovery efforts from FX exposure due to borrowings pre-2024. For context, the Group has deliberately reduced its total borrowings from ₦341.63 billion at the end of 2023 to zero as at H1 2026. Nigerian Breweries Plc (NB Plc) ended H1 2026 with ₦74.63 billion in cash and no borrowings, while retained earnings returned to a positive ₦13.65 billion from a negative ₦72.17 billion as at FY 2025. A return to positive retained earnings gives the company room to return value to its clients in the form of dividends. This is noteworthy given NB Plc’s historically high dividend payout, which has often been above 80% of earnings in profitable years.
Please follow the link “Nigerian Breweries Q2 2026 – Recovery Strengthens as Finance Costs Ease” to view the whole report.
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