International Breweries Plc has declared N183.6bn cumulative loss between 2023 and 2024, THE WHISTLER can report.
The amount comes after the brewery reported another loss of N113.6bn in 2024 extending the loss by 61 per cent.
In 2023, the brewery recorded a loss of N70bn which was blamed on President Bola Tinubu reforms which resulted in the devaluation of the naira by over 96 per cent.
The losses come despite the company’s efforts to grow its revenues from N260.6bn in 2023 to N488.95bn in 2024.
“While continually delivering strong revenue growth, our inability to source adequate foreign exchange (FX) due to market illiquidity impacted profitability, as we incurred significant FX losses on our foreign currency-denominated debt and liabilities.
“To address this, the company successfully raised fresh capital through a rights issue and settled the outstanding loan liability.
“Going into 2025, the company expects to return to profitability in the absence of any significant non-operating foreign currency exposure.”
International Breweries suffered a net foreign exchange loss of N165.65bn in 2024 compared to the N14.39bn recorded in 2023.
Marketing, promotion and distribution expenses gulped N76.7bn up from N54.8bn while other losses took N136.2bn as against the N77.9bn in 2023.
But the company managed to cut its liabilities from N609.1bn in 2023 to N278.9bn in 2024.
The company also has a strong cash position of N148.9bn in 20204.
The books revealed that, “The company generated positive operating cash flows in the current year 2024: N148.90bn (2023: N78.60bn) to cover its short-term obligations.”
