Firm Rebuilds Balance Sheet With N18bn Debt Reduction In H1

Guinness Nigeria Plc ended the first half of 2026 with net debt of about N19 billion, compared to about N37 billion six months earlier, as the brewer cut borrowings amid higher earnings and continued capital spending.

The brewer disclosed this during its H1 2026 Investors and Analysts Call, where management provided an update on financial performance and strategic priorities.

According to the company, net debt declined substantially from approximately N37 billion to about N19 billion in the six months ended 30 June 2026. Shareholders’ equity also strengthened, rising from N43.3 billion to N64.2 billion over the same period.

Speaking during the call, the managing director/chief executive officer, Guinness Nigeria, Girish Sharma, said the debt reduction reflected a deliberate focus on financial discipline.

“We have made significant progress in strengthening our financial position while continuing to invest in the growth of the business.

The days of operating with a weak balance sheet are behind us. Today, we are in a much stronger position to pursue growth, improve returns and create sustainable value for our shareholders and other stakeholders,” Sharma said.

The finance & strategy director, Mayank Kabra, and Corporate relations & legal director, Rotimi Odusola, also joined the call to address analysts’ questions on capital allocation and leverage.

The improved leverage position comes as Guinness Nigeria reported strong earnings for H1, with revenue of approximately N265 billion and profit after tax up 53 per cent to N25.3 billion.

Management said the stronger balance sheet now gives the company greater flexibility to navigate inflationary pressures, FX volatility and consumer headwinds, while continuing to fund its long-term growth agenda.

Sharma said the Company’s strategy remains focused on balancing growth with financial discipline.

“Our focus is not simply on growing bigger, but on building a stronger, more efficient and more sustainable business. With a healthier balance sheet, strong brands, an extensive route to market and continued investment behind our growth priorities, we are better positioned to navigate the operating environment and capture the opportunities ahead.”

As Guinness Nigeria builds on its H1 2026 performance, the Company remains focused on delivering sustainable growth, strengthening returns and creating long-term value for its shareholders and stakeholders.

Meanwhile , in 2024, the brewers reported a N61.7 billion nine-month loss, N60.5 billion pre-tax loss and negative shareholders’ equity of N4.7 billion after retained losses surged to N53.3 billion. However, the turn around began after Tolaram acquired majority shares as Diageo exited.