Guinness to Pay N3.32bn Dividend for 2018

• Guinness to Pay N3.32bn Dividend for 2018

Investors of Guinness Nigeria Plc will receive a dividend of N1.52 per ordinary share of 50 kobo each for the 2018 financial year.

Guinness Nigeria disclosed this through the Nigerian Stock Exchange on Thursday.

The company, however, noted that the dividend, which translated to N3.32 billion, was subject to the approval of shareholders at its forthcoming Annual General Meeting.

Commenting on the company’s performance, Mr Baker Magunda, the Managing Director Guinness Nigeria, said the firm would continue to work on growth while anticipating an improvement in macroeconomic parameters.

He said, “Revenue for the year declined by eight per cent, compared to same period last year on the backdrop of an extremely challenging macroeconomic and competitive environment.

“The cost of the increase in excise duty at a time of stagnant consumer disposable income had to be absorbed by industry players. Despite the tough competitive landscape, we continue to see good growth performance from Guinness, spirits and the malt drinks.”

Speaking on factors responsible for the 17 percent decline in gross profit during the 2018 financial year, he said high inflation rate, previous royalties and accruals not approved by the National Office for technology acquisition and promotion were responsible for the decline.

He further explained that while marketing expenses reduced by 16 percent, costs of logistics initiatives mitigated the gross profit decline, therefore, leading to a decline in operating profit by N4,4 billion.