Guinness Nigeria may be losing the alcoholic beverage wars, posts 144% loss in Q3 2019

Stiff competition in the Nigerian alcoholic beverage space may have pushed Guinness Nigeria‘s profit into negative territory.

This is according to the company’s financial statement for the period ended September 30, 2019.

Revenue witnessed a marginal drop of 4% from N28 billion in Q3 2018 to N26.9 billion Q3 2019.

Financial cost rose from N593 million to N1.3 billion in 2019, causing the company to record a loss before tax of N370.4 million from a profit before tax of N1.2 billion. This represents a steep drop of 10,030%.

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In the same vein, the loss after tax remained at N370.4 million as against N835.7 million in 2018, representing a drop of 144%.

Guinness Nigeria in a bid to enter the lager beer segment, introduced the Guinness Gold beer recently in a space already dominated by Nigeria Breweries and International Breweries.

Guinness Nigeria closed at N26.45 during trading session on the floor of the Nigerian Stock Exchange (NSE). Year to date the stock is down by 63%. Coincidentally, the stock is at its 52-week low.

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