Beer Maker Champion Breweries Posts Over N800m Profit in 2024
- Champion Breweries Plc has recorded an impressive performance raking in over N800 million in profit
- The 2024 revenue nearly doubles the 2023 revenue, despite the Nigerians facing various economic challenges
- Champion Breweries products include Champion lager beer, champion lager beer with ginger extract, Champ Malta, and Champ malt with butter cookies flavour
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Champion Breweries Plc has announced a remarkable financial performance for the year ending December 31, 2024, with a notable increase in profit after tax.
According to the company's audited financial statements, the brewery recorded a profit after tax of N816.99 million.
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The 2024 profit after tax is a massive 120.5% rise from N370.56 million in 2023.
Details of Champion Breweries results
The impressive growth in profitability was thanks to a robust 64.5% surge in revenue, which soared to N20.89 billion compared to N12.70 billion in the previous year.
This increase in revenue was driven by product sales, despite facing rising costs.
Specifically, the cost of sales climbed to N12.17 billion in 2024, reflecting a 59.5% increase from N7.63 billion in 2023.
Champion Breweries also reported a commendable 70.3% growth in gross profit, reaching N8.72 billion, up from N5.07 billion in the preceding year.
While, operating profit witnessed an upswing to N2.33 billion, compared to N603.97 million in 2023.
However, the company experienced an uptick in finance costs, which surged to N1.07 billion from N169.91 million in the previous year, largely due to higher borrowing expenses incurred during the period.
Taxation for the year amounted to N457.06 million, rising from N74.78 million in 2023.
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On total comprehensive income, Champion Breweries reported a substantial increase to N860.79 million, up by 206.5% from N280.84 million recorded in 2023.
The company's total assets expanded to N21.35 billion in 2024 from N20.55 billion in the previous year, while shareholders' equity also grew to N12.06 billion from N11.20 billion, highlighting accumulated retained earnings and reserves.
Punch reports that earnings per share rose to 9.10 kobo in 2024 from five kobo in 2023, indicating improved returns for shareholders amidst the company's strong financial performance.
In the second quarter of 2024 alone, Champion Breweries reported a robust 65.6% year-on-year growth in revenue to N5.17 billion, compared to N3.12 billion in the same period of the previous year.
Nigerian Breweries hits N1 trillion in revenue
In a previous report by Legit.ng, the Nigerian Breweries Plc, the company has crossed the N1 trillion revenue milestone.
The recently released financial results for FY 2024 show that the group recorded an impressive N1.1 trillion for the year, up 81% from the N599.6 billion recorded in FY 2023.
Despite the hike in input costs, Gross profit also grew 51% to N320 billion in 2024, from N212.6 billion in the previous year, while operating profit grew 59% from N44 billion in 2023 to N70 billion in 2024.
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Source: Legit.ng
