NBL’s earnings increase from N$3,39b to N$6,83b in 18 months

NBL’s profit rose by 101.4%, from N$3.39 billion to N$6.83 billion, for the 18 months ending 31 December 2024.
The company attributes this growth was largely driven by the successful integration of the Distell portfolio and significant volume increases across all product categories.
Operating profit increased by 112.6% to N$896 million, reflecting volume growth in Namibia, South Africa, and export markets.
NBL’s supply to South Africa performed exceptionally well, with Windhoek beer achieving excellent results, supported by royalty agreements and strong partnerships.
Royalty income grew by 38.2%, mainly due to favourable market conditions in South Africa and expanded export reach through Heineken Beverages International.
However, despite the substantial revenue and operating profit growth, profit attributable to shareholders saw a sharp decline.
It dropped by 87.2%, from N$5.1 billion for the 12 months ending 30 June 2023 to N$651 million for the 18 months ending 31 December 2024.
This decrease was primarily due to the sale of the group’s investment in Heineken, South Africa, in the 2023 financial year.
As a result, basic earnings per share decreased to 315.1 cents from 2466.9 cents in the previous period.
However, headline earnings per share saw a significant increase of 93.8%, rising to 315.3 cents, up from 162.7 cents in 2023.
Net cash flow from operating activities reached N$963 million, with cash generated from operations growing by an impressive 245.9% to N$1.56 billion.
Capital expenditure during the period totalled N$725.5 million, more than double the N$243.3 million spent in the previous period.
NBL also reported net cash outflows of N$1.39 billion from financing activities and N$707.8 million from investing activities.
These outflows were mainly due to ongoing investments in production upgrades and local cider and wine production expansion.
Additionally, the company restructured its borrowings to better align with its cash flow and operational needs, focusing on optimising its balance sheet to support the combined business.
Net debt now stands at N$188.3 million.