2020 financial: ” We were adversely impacted by COVID-19, increase in VAT, others” … Nigerian Breweries
The Nigerian beer market appears to have rebounded after the first impact of COVID-19. While the sector remains under pressure, fundamentals are quite attractive with a high growth potential. This was highlighted at the Nigerian Breweries Plc Facts Behind the Figures hosted by The Nigerian Stock Exchange on Monday, 23 November 2020.
Speaking at the event, the Divisional Head, Listings Business, NSE, Mr. Olumide Bolumole stated, “The Exchange recognizes efforts made by the Board and Management of Nigerian Breweries towards achieving business continuity by enhancing the organisation’s operational efficiency. It is also noteworthy that Nigerian Breweries has chosen to utilise the NSE Facts Behind the Figures event to provide the market with information about its financial performance as well as strategic and operational developments. Given that the market is driven by timely, relevant and accurate information, this interaction with the market through this forum is vital and we encourage the management of Nigerian Breweries to continue to strive for sustainability by adhering to the highest standards of disclosure and corporate governance.”
Mr. Jordi Borrut Bel, Managing Director/CEO, Nigerian Breweries, and Mr. Rob Kelinjan, Finance Director, Nigerian Breweries highlighted the company’s performance. In his presentation, Mr. Bel noted, “In 2020, the results of Nigerian Breweries, were adversely impacted by the COVID-19 pandemic, VAT increase, FX devaluation and scarcity of foreign exchange. Our position in the market, however, enabled us to mitigate this impact in Q3 with growth versus last year. Looking ahead to 2021, we will strive to sustain the performance of the 2nd half of 2020, driving premiumisation and growth. However, we still expect to have a challenging operating environment with devaluation, inflation and affordability. The capabilities of our people, focus on our consumers combined with a commercial agility and position for growth gives us confidence to continue to Winning with Nigeria.”
Following the presentation, attendees at the virtual event were given the opportunity to ask questions after which Mr. Bel was honoured with a digital Closing Gong ceremony.
The Exchange continues to position itself as the African Exchange of choice for issuers and investors by implementing policies aimed at strengthening the corporate governance of listed companies. Leveraging its various digital platforms and innovative technology to ensure business continuity and uninterrupted dissemination of information to the market, NSE has also showed its remarkable resilience by providing a platform to support listed companies in meeting their strategic business objectives. This has been demonstrated in the over N1 trillion raised by Governments and Corporates across various asset classes in the last 10 months and the market looks forward to even more exciting days ahead.
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