Nigerian Breweries Plc has attributed the recent triple-digit rise in its share price to a successful business recovery strategy, saying the company has emerged from one of the most challenging periods in its financial history with a stronger market position.
Speaking at the company’s 80th Pre-Annual General Meeting media briefing in Lagos on Thursday, the Managing Director and Chief Executive Officer, Hans Essaadi, said the 135 per cent appreciation in the company’s stock value over the past year reflects renewed investor confidence in the brewer’s long-term fundamentals.
According to him, the rally validates the strategic decisions taken by the company during the past 18 months.
“The recent stock rally solidifies NB Plc’s market dominance and serves as a validation of the difficult but necessary strategic decisions we took over the last 18 months,” Essaadi said.
“Despite the volatile environment that saw some players exit the country, we stayed, we reinvested, and today, we are navigating this crisis from a position of strength.”
The surge follows a strong performance in the 2025 financial year, during which the Group recovered from the macroeconomic pressures experienced in 2024.
Financial figures presented at the briefing showed that group revenue rose by 35 per cent, driven by innovation, premium product offerings, strategic pricing, and strong commercial execution.
Operating profit increased by more than 190 per cent due to strict cost control measures and supply chain efficiencies, while net profit rebounded by 168 per cent after the company recorded heavy losses in the previous year.
A major factor behind the turnaround was the capital injection from the 2024 rights issue, which significantly reduced the company’s financial obligations.
According to the company’s financial data, total borrowings dropped sharply from over ₦200bn in 2024 to about ₦59bn by the end of 2025, leading to an 83 per cent reduction in net finance costs and the elimination of foreign currency exposures.
The Finance Director, Maria Karasewa, said the company has now returned to a “cash-positive” position.
“In the aircraft, you need to put your own mask on first before you attend to others. Our mask now works; we are financially strong today, which allows us to now focus entirely on our consumers and shareholders,” she said.
Karasewa added that clearing the company’s dollar-denominated debts removed the primary source of financial strain experienced in 2024.
As part of its growth strategy, the company confirmed the full acquisition and integration of Distell Wines and Spirits Nigeria Limited in 2025.
Although the integration involved one-off costs, the board said the move expands the company’s portfolio beyond beer and strengthens its long-term growth prospects.
Essaadi also revealed that the company’s scenario planning for 2026 has already factored in potential disruptions from the ongoing Middle East crisis.
He said the brewer is focusing more on local sourcing to reduce exposure to external shocks.
“Nigeria for now is protected because we anticipated these macroeconomic shifts. We are moving beyond just political support for local sourcing into a marathon roadmap that involves direct infrastructure and financing for smallholder farmers,” he said.
Despite returning to profitability, the board clarified that dividend payments cannot yet resume because the company still carries accumulated losses from previous years.
Company Secretary Uaboi G. Agbebaku explained that retained earnings remain negative due to heavy losses recorded over the past two years.
However, the board expressed confidence that the company is steadily reversing the deficit.
“Dividend payment is not based solely on whether you have made a profit in a single year. To be able to pay, we must clear our accumulated losses,” the company stated.
Looking ahead, the brewer reaffirmed its long-term commitment to Nigeria, noting that two of its world-class breweries currently on standby could be reopened once production volumes reach targeted levels.
The company also urged regulators to carefully consider proposed fiscal policies, including tax stamp measures, warning that poorly designed regulations could undermine the recent recovery in the manufacturing sector.
