International Breweries' pre-tax profit rises, but higher tax expense cuts net earnings

International Breweries disclosed unaudited results on 26 October showing that stronger pre-tax earnings did not translate into higher net profit for the nine months ended 30 September 2026.

Profit before tax reached ₦90.44 billion, compared with ₦74.21 billion in the same period of 2025, an increase of approximately 21.9%. Revenue rose more modestly, to ₦482.61 billion from ₦472.57 billion.

Income-tax expense increased to ₦35.93 billion from ₦16.39 billion. Profit after tax consequently declined to ₦54.51 billion from ₦57.83 billion, approximately 5.7% lower. Basic and diluted earnings per share fell to ₦0.32 from ₦0.34. Tax expense is an accounting measure and should not be read as the amount of cash tax paid during the period.

The income statement also reports gross profit of ₦195.94 billion, up from ₦160.92 billion. Lower cost of sales supported that improvement, while administrative, marketing and distribution expenses increased. The figures are nominal naira amounts, not inflation-adjusted changes.

Reading the disclosure

The company's accompanying notice is dated 26 October and records board approval on 23 October. This report uses the public disclosure date, separate from the reporting period and the board meeting.

FXRates.ng's interpretation is that the results illustrate why revenue, operating performance and net earnings must be assessed separately. The filing alone does not establish changes in sales volumes, retail beer prices or future dividends. No share-price movement or investment recommendation is inferred here.