The Nation Newspaper

Tag: Guinness Nigeria

  • Guinness Nigeria’s empowers 250 female nanopreneurs

    Guinness Nigeria’s empowers 250 female nanopreneurs

    Guinness Nigeria Plc has reaffirmed its commitment to women’s empowerment and economic development through the successful conclusion of the Plan W training recap and asset handover ceremony, which held in Ibadan, recently.

    The event marks a significant milestone in the company’s ongoing mission to foster economic empowerment and social progress among women across Nigeria.

    Speaking at the ceremony, Managing Director of Guinness Nigeria, Adebayo Alli, emphasised the initiative’s far-reaching impact

    “Since 2019, we have empowered 1,150 women across Nigeria. Our vision is bold, our ambitions are high and our commitment is unwavering. By the second quarter of 2024, we aim to reach a total of 1,400 women, including an additional 250 women in Lagos State. By 2027, we hope to have doubled this figure and stretch the impact of the Guinness Plan W initiative,” he said.

    “This expansion is not merely about numbers; it is about reaching more lives, touching more hearts, and creating lasting change in communities across Nigeria.”Recognising the importance of inclusivity, Guinness Nigeria has partnered with Sightsavers Nigeria to ensure that 10 per cent of Plan W beneficiaries are People Living with Disabilities (PLWDs).

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    “This partnership underscores the company’s dedication to leaving no one behind, promoting a diverse and inclusive environment where all individuals have the opportunity to succeed,” Alli added.

    The ceremony was graced by the presence of Hon. Mrs. Toyin Balogun, Commissioner for Women Affairs and Social Inclusion, Oyo State, who praised Guinness Nigeria for its leadership in women’s empowerment.

    “This programme encapsulates the spirit of empowerment, providing not just jobs but pathways to independence, confidence, and success. To the women who have embraced this opportunity, your courage and commitment are inspiring. You are leaders, innovators, and changemakers.”

    Hon. Muftau Olatunde Ogunremi, the Senior Special Adviser to the Governor of Oyo State on SDGs, also lauded Guinness Nigeria Plc for the initiative.

    “Guinness Nigeria Plc has become known for doing good within society as I also witnessed their recent water project in Ibarapa last year. I urge the management to continue these laudable initiatives and urge other organisations to join them for scale and wider impact.”

    The event was further enriched by the presence of other community stakeholders including the Iyaloja of Bodija Market, Alhaja Sikiratu Tantoloun, and Alhaji J.O. Ogungbola, a key trade partner covering the West Division.

    Their support and participation underscored the community’s collective effort towards driving economic empowerment and social progress.

    The success stories emerging from the Plan W initiative highlight its transformative power. Women empowered by the programme are not only supporting their families but are also contributing to the economic growth of their communities.Plan W operates on a “Triple Win” principle, benefiting individuals, families, and the nation.

    By investing in women, Guinness Nigeria enhances employability, boosts family incomes, and strengthens the nation’s GDP.

    As the event concluded, Alli called for continued support and collaboration to drive positive change.

    “By empowering women through Plan W, we are shaping the future of our nation, one empowered woman at a time. We extend our heartfelt gratitude to our partners, supporters, and the brave women who are the heart of Plan W. Your determination and perseverance inspire us all.”

  • Year-end review: Guinness Nigeria recorded N19b losses due to FX scarcity

    Year-end review: Guinness Nigeria recorded N19b losses due to FX scarcity

    What ordinarily should have been a year of bumper harvest for both the management, board and shareholders of Guinness Nigeria PLC turned out to be a bad one indeed as the brewery giant recorded a whooping N80billion losses at the end of the business year in June 2023.

    While taking stock of the outgoing operating year, the distraught Managing Director, John Musanga, who attended the annual general meeting (AGM) for the first time since resuming as a member of the top brass of the company lamented that everything was looking good in the books until the federal government policy announcing the refloating the naira thus adversely affecting its earnings which suffered largely due to the company’s FX pushbacks.

    Musunga said, “When President Tinubu announced new policies that resulted in currency devaluation, we were carrying huge foreign exchange exposure that we have to revalue, which removed us from the very healthy profit position which we were going to report in June. If that announcement had been made on July 1, we would have made quite a bit of profit. But because it was made in June and our year closes in June we made a N19 billion loss because of that devaluation.

    “We do not want to carry forward that kind of exposure whereby we increase our foreign exchange exposure in our balance sheet and our profit and loss account. Being very tactful in how we move these imported spirits around, will free Guinness Nigeria to utilise the foreign exchange that we earn from our business and the little that we receive from the government to buy raw materials that we use to manufacture. That is one of the big motivations for that change,” he had explained.

    Musunga also threw more light on Guinness’ recent announcement on halting the marketing of its imported finished products, revealing that it is to enable Guinness Nigeria to concentrate on products that it manufactures locally while creating a new company that would be charged with the importation and distribution of its imported spirit products in Nigeria.

    In the financial year ending on 30 June 2023, the revenue associated with Guinness Nigeria’s portfolio of imported Diageo international premium spirit products amounted to NGN14 billion, constituting approximately 6% of Guinness Nigeria’s total revenues.

    Justifying the decision to, Musanga said, “By being very tactful of how we move these imported spirits around, it will free Guinness Nigeria to utilise the foreign exchange that we earn from our business and the little that we receive from the government to buying raw materials that we use to manufacture. That is one of the big motivations for that change.”

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    He said that while “we are doing this, we creating two different enterprises in Nigeria: Guinness Nigeria remains as it is but the Diageo, the mother company, is committed to introducing a new organisation in Nigeria to be selling these imported spirits.

    “We are not moving away from spirits. We are just adjusting the way we market our foreign spirits brands in Nigeria. 

    “The expectation from the business is that we will see hopefully in the coming future two businesses that will be growing and more adept and attuned to the market and hopefully free us from foreign exchange situation.

    “As a business we will always have to look at our strategies and review them in the light of market dynamics.”

    He also expressed confidence that the measures the government has taken will bear fruits. “We will be worried in the short term for sure as we feel the pain now. But if we stabilise our currency and government use the money it removed in subsidy and invest it in development the ultimate beneficiary will be the consumers in Nigeria and manufacturers like us that will have enough consumers,” Musunga said.

    Speaking earlier, Dr. Omobola Johnson, Chair of the Board of Directors of Guinness Nigeria Plc noted that the company’s revenue grew by an impressive 11% increase in its topline revenue, despite facing severe macro-economic challenges for the financial year ended June 30, 2023.

    “We are delighted to receive our shareholders physically this year, to share with them the positive outcomes of our fiscal year ’23, despite the challenging operating environment,” said

    “The strong financial performance and strategic achievements reflect the dedication and handwork of our team alongside the unwavering support of our shareholders and stakeholders.”

    Johnson further explained that at the heart of Guinness’ success is innovation. “Innovation and how best to satisfy our customers with our products, are always top of mind for us at Guinness. As Nigeria’s foremost Total Beverage Alcohol company, we take pride in the legacies of our iconic brands and we hope to continue turning out products that will ensure we retain that pride.”

    Expectedly, the shareholders who were all looking forward to getting some form of dividends either in the interim had their hopes dashed as the company said its retained earnings and losses eroded whatever gains would have been left to declare any form of dividends.

    Sir Sunny Nwosu, Nonah Awoh and a host of other shareholders who were at the AGM spared no moment at all to express their grievances to the board for failing to meet the expectations of the shareholders amidst mixed reactions from the hordes of shareholders’ groups.

  • GUINNESS GOLD LAUNCH:  A CELEBRATION OF FLAVOR AND CHARACTER

    Last Saturday, Guinness Nigeria transformed the Landmark Centre, Victoria Island into an ultra-high-tech audio visual experience with iconic sound and amazing events designed to introduce the new premium lager beer, Guinness Gold.

    A-list celebrities, influencers and socialites were treated to a night of full flavor, high energy music and great style.

    With guests treated to the exquisite taste of Guinness Gold, served at 3 degrees in unique Guinness Gold Glassware, award winning culinary maestro, Chef Fregz, indulged guests with light bites that were beautifully paired with flavour filled Guinness Gold, while DJ Exclusive amped the evening with thumping music from his inspiring music box.

    Launching in Lagos, Nigeria for the first time anywhere, Guinness Gold is a refreshing lager beer, packed full of depth and character, making it ideal for those looking for more from their beer drinking experience.  As well as using the same yeast as Guinness Foreign Extra Stout, Guinness Gold’s unique combination of high-quality ingredients sourced locally and internationally provides fruity flavours that allow drinkers to truly savour its flavour.

    Available in premium outlets across Lagos, Guinness Gold retails at 350N for a 600ml bottle.

    For more information on Guinness Gold, visit and follow @guinnessnigeria on Facebook, Twitter and Instagram. Also check out the hashtag #GuinnessGold.

    18+. Drink Responsibly.

    See images below

     

  • Guinness Nigeria posts N3.8b PBT

    Guinness Nigeria Plc has posted N3.8 billion Profit Before Tax (PBT) for  half-year ended December 31, 2018.  The results which were released to the Nigerian Stock Exchange (NSE), showed that PBT was  driven by lower finance charges, as a result of the rights issue, which more than offset operating profit decline in a challenging operating environment.

    Guinness Nigeria net sales declined four per cent in the half year ended 31st December 2018. This was primarily driven by the ongoing pressure in the lager segment as a result of the continued challenging operating environment. Double digit growth in spirits and continued growth in Guinness mitigated some of the decline in the period. Gross profit declined 15 per cent as a result of net sales decline, as well as continued inflationary pressure on our raw material costs and lower fixed cost absorption. Marketing spend decreased 10 per cent as we continued to focus our investment behind the biggest growth opportunities.

    Operating profit declined N2 billion as the productivity initiatives around marketing spend, distribution expenses and administrative expenses mitigated some of the inflationary cost of sales pressure.

    Speaking on the announcement,   Managing Director/CEO, Guinness Nigeria plc, Baker Magunda said, “In the half year ended 31st December 2018, Guinness Nigeria delivered results that reflected the continued challenges in the operating environment. While lager remains a challenged sector, Guinness and spirits recorded strong growth, and our non-alcoholic malt drinks grew in the face of intense competitive pressure. This re-affirms our Total Beverage Alcohol portfolio strategy as a key driver of sustainable growth in the market. Looking forward, we will continue to focus on our strategy which is now based on four strategic pillars of growing our premium core faster, delivering our target cost absorption, continue innovating to meet consumer needs and driving productivity harder to improve performance in the business. ,  Chairman of the Board of Guinness Nigeria Plc, Babatunde Savage, said, “The Board is confident that our strategy is sound, and we are making the right investments in the company to ensure long term competitiveness”.

     

    He further stated that “the Board continues to support the Management in its efforts to build a business that aims to consistently deliver growth for stakeholders.

     

     

  • RIO FERDINAND HITS YABA FOR LIVE EPL GAME SCREENING WITH PASSIONATE FOOTBALL FANS

    Legendary former Premier League footballer, Rio Ferdinand, was the guest of honour at the Lion’s Den in Lagos yesterday afternoon.

    As part of his trip to Lagos with Guinness, he joined hundreds of football lovers for an afternoon filled with football and entertainment.

    Ferdinand was joined by Nigerian footballing greats Julius Aghaowa, Peter Rufai, Victor Ikpeba at the event and the group treated the guests to a pre-match analysis ahead of the game.

    Rio presenting prize winners

    He announced the first five prize winners from the consumer promotion who would be joining him to watch a live international match in Cameroon later in the football season.

    Before he left for the final engagement of his whistle-stop tour, he made an announcement that he had been so inspired by the nation’s passion for the beautiful game, he is joining with Guinness to find and celebrate Nigerian football fans Made of More.

    Shout outs to regions across Nigeria

    Henry Esiaba, Guinness Brand Manager, Guinness Nigeria Plc comments, “Although they live thousands of miles away from the Premier League, their knowledge and passion would rival that of any fan in the world. They show their vibrant support with chants, unparalleled player and team knowledge, humour, dance, dress, rituals and bold acts of dedication.

    “You may be the fan who doesn’t just paint your body in your team’s colours, but the one who painted your entire house in them; or the one who invented your own unique winning dance that you break into every time your team scores a goal! Whatever makes you extraordinary, we want to celebrate your story!”

    Rio with fans

    If you are an extraordinary football fan whose love of the beautiful game goes beyond any boundaries, we want to hear your story! Send us a [short video to XXX / insert mechanic for submissions] using the hashtag #fansmadeofmore.  If your video stands out as an example of extraordinary football fandom, you could see it showcased on Monday Night Football and on Guinness social media channels as well as English Premier League broadcasts across the continent.

    To keep up to date with all the latest news about Rio’s visit to Lagos as well as the search for Fans Made of More, make sure you follow Guinness Nigeria on social media:

      • Twitter:  @GuinnessNGR
      • Instagram: guinnessngr
      • Facebook: www.facebook.com/GuinnessNigeria

  • Guinness Nigeria increases dividend up by 187.5%

    The board of directors of Guinness Nigeria Plc yesterday recommended a 187.5 per cent increase in dividend payout to shareholders as the brewer grew sales and profit to their best records in recent period.

    Shareholders will receive a dividend per share of N1.84 for the 2018 business year as against 64 kobo paid for the 2017 business year.

    Key extracts of the audited report and accounts of Guinness Nigeria for the year ended June 30, 2018 showed that turnover rose from N125.92 billion in 2017 to N142.98 billion in 2018, representing an increase of 14 per cent. Profit before tax jumped from N2.66 billion to N9.94 billion while profit after tax leapt from N1.92 billion to N6.72 billion. Earnings per portfolio, as well as the execution of the commercial footprint initiatives to drive the business forward,” Magunda said.

    He added that improved operating performance combined with lower finance charges helped the company to deliver an overall net profit increase of 249 per cent in 2018, noting that despite the continued challenges in the operating environment, the company remains optimistic about the execution of its strategy.

    Chairman, Guinness Nigeria Plc, Mr. Babatunde Savage, reiterated that Guinness Nigeria has confidence in the Nigerian economy and will remain a major player in the country by continually investing, developing capacity and growing a portfolio that most suit the consumers’ needs for celebration and relaxation.

    “Our aim is to continue to add value to Nigeria not only through continued investments in local manufacturing and backward integration, but also through various Sustainable Development projects, enabling job opportunities and economic inclusion,” Savage said.

    According to him, it is heartening to see the impact of the rights issue coming through in the profitability of the company.

    He said directors of the company were confident that it is making the right investments to ensure long term competitiveness, assuring that the board will continue to support the management in its efforts to build a business that aims to consistently deliver growth for all stakeholders.

     

  • Guinness gets new CEO

    Peter Ndegwa, the Chief Executive of Guinness Nigeria is to step down at the end of the 2018 financial year, after three years in the role, the management has stated.

    Ndegwa will be taking up a new role as the Managing Director, Continental Europe & Russia, within Diageo PLC, Guinness Nigeria’s parent company. The company also confirmed that, Baker Magunda, currently Managing Director of Meta Abo Brewery in Ethiopia will take over as the new CEO of Guinness Nigeria, following a period of transition.

    The outgoing CEO of Guinness Nigeria who has worked in the company for nearly three years has overseen the recent transformation at the company, including the successful rights issue and implementation of the productivity programme. Recent Q3 financial performance has shown the improvement that these projects are delivering.

    Baker Magunda will join Guinness Nigeria from Diageo owned Meta Abo Breweries in Ethiopia. Under Baker’s tenure Meta Abo has seen the launch of the Guinness brand in the country and a strong innovation pipeline of brands brought to market. He has nearly twenty years’ experience in the consumer goods and alcohol industry and has worked across Africa in Uganda and Kenya as well as Ethiopia and the Sudan.

    Commenting on the news, Guinness Nigeria Chairman Mr. Babatunde Abayomi Savage said: “I would like to thank Peter for his transformational work over the past few years, he has led the business through challenging times and taken us forward. It is great to see him moving on within Diageo. I would also like to use this opportunity to welcome Baker to the role. I look forward to working with him.”

    Peter Ndegwa added: “We have been on a significant journey in Nigeria over the past few years and I am proud of the work that has been done and where the company has got to. The business has more to do certainly and I know the team under Baker’s excellent leadership will do well. I look forward to my new challenge and will follow the progress of Guinness Nigeria with interest.”

    Commenting on his forthcoming new role, Mr. Magunda noted: “I am delighted to be joining Guinness Nigeria at this time. The team has worked hard to deliver change and progress in a complicated economic environment. I look forward to continuing Peter and the team’s work when I formally join. There is a lot to go after and as Nigeria’s only total beverage alcohol player, there is a great opportunity.”

    The formal appointment will be announced to the Nigerian Stock Exchange when Mr. Magunda is officially appointed to the Board of Guinness Nigeria.

     

  • Guinness Nigeria earns N7.9b profit in nine months

    Guinness Nigeria Plc has witnessed considerable improvement in its bottom-line in the third quarter, recovering from a loss position to a pre-tax profit of N7.89 billion within the nine-month period.

    Key extracts of the interim report and accounts of Guinness Nigeria for the nine-month period ended March 31, 2018, showed a well-rounded performance with significant growths in sales and profitability.

    Turnover rose by 17 per cent to N105.48 billion by March 2018 compared with N89.87 billion recorded by March 2017. Gross profit rose from N31.25 billion in 2017 to N35.59 billion in 2018. Operating profit doubled from N4.19 billion to N10.68 billion. From a pre-tax loss of N2.46 billion by March 2017, the company regained profitability with a pre-tax profit of N7.89 billion by March 2018. After taxes, net profit stood at N5.09 billion in 2018 as against net loss of N2.56 billion in comparable period of 2017. Earnings per share turned positive at N2.32 by March 2018 as against loss per share of N1.70 by March 2017. The results also showed a 14 per cent growth in volume when compared to the same period last year.

    Managing Director, Guinness Nigeria, Mr Peter Ndegwa said the third quarter performance has shown the resilience of the company’s strategy as turnover for the period was driven mainly by volume growth.

    According to him, the company has continued the robust implementation of its strategy around its product portfolio, offering Nigerians quality brands across a broad range of occasions, from non-alcoholic to beer and spirits.

    “We also continued to focus on driving our productivity agenda, improving effectiveness and delivering efficiencies across our operations, which partially mitigated the impact of high input inflation in the quarter,” Ndegwa said.

    He pointed out that administrative expenses was reduced by 25 per cent as a result of an increased focus on cost management while distribution expenses reduced by 11 per cent driven by productivity initiatives such as improved truck utilisation and better truck turnaround.

     

     

     

    He added that marketing expenses increased by 16 per cent as Guinness Nigeria continued to invest behind its brands over the period.

    “We believe that our strategy and particularly the commercial execution are now yielding the desired outcomes. We will continue to focus on our strategy to deliver an improved performance in a challenging operating environment compounded by impending significant increases in taxes,” Ndegwa added.

  • Guinness Nigeria grows Q1 sales by 30%

    Guinness Nigeria grows Q1 sales by 30%

    Guinness Nigeria Plc has announced its first quarter results for the period ended September 30, 2017, delivering total turnover of N29.9 billion and gross profit of N10.4 billion. These represented a 30 per cent increase in sales and 24 per cent growth in gross profit.

    Managing Director, Guinness Nigeria Plc, Mr. Peter Ndegwa said the results reflected continued growth within the spirits business as well as benefit of an expanding portfolio.

    According to him, the company’s marketing expenses increased by 12 per cent indicating continued investment behind its brands while administrative expenses were reduced by 17 per cent driven by the organisation’s productivity agenda.

    He noted that the company has put in place these processes and changes as part of its strategy to drive efficiency which will help position it for more sustainable growth.

    “Although trading conditions continue to be difficult, we delivered a credible performance with a net sales growth of 30 per cent for the quarter. This was against the backdrop of changes in commercial footprint in the prior year as well as benefit of an expanding portfolio. We also continue to see value from our focus on productivity in areas like sales as we empower our teams for success on the frontline as well as driving efficiency in logistics. This has released resources that we are able to re-invest behind our brands,” Ndegwa said.

    He added that a critical part of the strategy is to expand the company’s portfolio and as it continues to innovate with the introduction of new brands and formats, while spending on A & P is also critical to driving growth not just for innovation brands but also for core brands like Guinness and Malta Guinness.

    He said the net proceeds of the recent rights issue would be used to reduce the level of borrowings and consequently funding cost, particularly reduction of foreign currency loan by 60 per cent, which will in turn  reduce the foreign currency volatility on the company’s balance sheet.

  • Guinness Nigeria gets N40b as rights issue

    Guinness Nigeria Plc has secured N39.7 billion new equity funds from its  shareholders, who picked up the entire rights offered by the brewer.

    Guinness Nigeria had offered 684.49 million ordinary shares of 50 kobo each at N58 per share to existing shareholders on the basis of five new shares for every 11 shares held as at the close of business on March 15, 2017. Application list for the rights issue opened on July 24, 2017 and closed on August 30, 2017.

    Listing documents at the Nigerian Stock Exchange (NSE) showed that 684.49 million ordinary shares of 50 kobo each were added to shares outstanding in the names of Guinness Nigeria. With the listing, total issued and fully paid up shares of Guinness Nigeria has now increased from 1.5 billion shares to 2.19 billion shares.

    Diageo Plc, United Kingdom, the majority core investor in Guinness Nigeria, was expected to inject additional N21 billion in Guinness Nigeria by subscribing for its rights. The rights issue provides another window for Diageo to inject capital into the Nigerian subsidiary after the multinational backed down from its earlier proposal to acquire additional equity shares in Guinness Nigeria.

    Diageo had withdrawn from its plan to acquire additional shares of up to 15.7 per cent in Guinness Nigeria from minority shareholders citing the challenging market conditions in Nigeria. Diageo had in September 2015 announced that it was considering acquiring 15.7 per cent equity stake in Guinness Nigeria through its wholly owned subsidiary, Guinness Overseas Limited.

    Managing Director, Guinness Nigeria Plc, Peter Ndegwa, said the net proceeds of the new capital raising will support the company in executing its strategy in the context of ongoing external economic challenges.

    According to him, the rights issue will allow the company to deliver on its strategic objectives and give all its shareholders a unique opportunity to increase the number of shares they hold.

    “Our expectation is that funds raised will help mitigate the impact of increasing finance costs, optimise our balance sheet and improve the company’s financial flexibility,” Ndegwa said.

    Chairman, Guinness Nigeria Plc, Babatunde Savage, said that the supplementary new issue is part of the company’s long term plans to continue to invest in its business in Nigeria.

    “We have been here in Nigeria for 67 years and, while it has been challenging in recent times for many Nigerian businesses, we remain committed to this market as evidenced by our decision to offer this Rights Issue. We are grateful for the support that we have received from our shareholders and other stakeholders up to this point,” Savage said.

    Last year, Guinness Nigeria became the first total beverage alcohol company in Nigeria by acquiring the rights to distribute international premium spirits like Johnnie Walker whisky and Baileys liqueur in Nigeria and later commissioning a N4.7 billion spirits line for locally manufactured spirits at its Benin plant.