Earnings Update: Guinness Nigeria Plc Q1 2025 – Macroeconomic Challenges Sustain its Grip

Event

Guinness Nigeria Plc (“the Group”) kicked off the 2025 fiscal year with a remarkable revenue growth, reporting a 111% surge to N125.89 billion (Q1 2024: N59.54 billion). Management attributed this growth to the diverse portfolio and strategic focus on building strong consumer connections, which we believe resulted in an increased volume. Furthermore, we posit that the Group maintained its pricing strategy to offset the impact of inflationary pressures which continued to stoke costs.

However, the Group reported a loss before tax of N16.03 billion, a sharp reversal from the profit before tax position of N3.82 billion in Q1 2024.

Outlook

Following Q1 2025 financial performance, we adjusted our full year forecast, revising our projected net loss to N58.67 billion (previously: N12.07 billion). Consequently, we revised our fair value to N61.82 (previously: N69.99). Nevertheless, we retain our HOLD recommendation for the stock.

Please follow the link “Guinness Nigeria Plc Q1 2025 – Macroeconomic Challenges Sustain its Grip” to view the whole report.

Thank you.