Nigerian Breweries Plc, Nigeria’s foremost brewing company, has reported a strengthened financial position in the first half of 2026, emerging debt-free with improved cash generation, positive retained earnings and a stronger balance sheet. This achievement follows a significant recovery from the challenges faced in previous financial years.
https://www.digital.zenithbank.com/ZEQ/ZEQ-jan-2026/index.html#p=1The Finance Director, Maria Karaseva, disclosed this during her presentation at the company’s investor call held on Friday, August 28, 2026.
According to Karaseva, the company recorded net revenue of over ₦1 trillion and maintained an asset base of approximately ₦1 trillion over the last six months, reflecting continued business recovery and stronger financial resilience.
She noted that the company increased its cash performance by 264%, generating ₦73 billion in net free operating cash flow relative to the corresponding period in 2025. This improvement enabled the full repayment of outstanding loans and closing the reporting period with zero borrowings.
She further stated that the company’s productivity programme contributed significantly to the improved performance, delivering ₦76 billion in productivity gains and expanding the gross profit margin by two percentage points. These operational improvements, according to her, helped cushion the impact of inflation and the Middle East crisis, supporting an 18% year-on-year increase in profit before tax.
Speaking further on the company’s financial performance, the Finance Director stated that the results demonstrate the effectiveness of deliberate financial discipline, stronger working capital management and sustained productivity initiatives across the business. She explained that the productivity initiatives implemented across the business generated substantial value, helping the company absorb inflationary pressures while strengthening profitability and liquidity.
“Our focus throughout the period was to strengthen cash generation and build a more resilient financial position. By improving our cash conversion, managing working capital more efficiently and translating productivity gains into cash, we generated ₦73 billion in net free operating cash flow, fully repaid our loans, and returned retained earnings to positive territory. This represents a significant milestone in our recovery journey,” she said.
Looking forward, she affirmed the company’s commitment to sustaining disciplined cash and cost management while driving volume and revenue growth. She emphasized the importance of reducing foreign-exchange exposure, improving productivity and innovation, and mitigating inflation through stronger operational performance.
“Our productivity programme delivered ₦76 billion in gains, which helped offset the impact of Middle East-related inflation in Nigeria and improved our gross profit margin by two percentage points. More importantly, those gains translated into stronger cash flow, giving us the capacity to eliminate our borrowings and significantly improve the health of our balance sheet,” she added.
