FMCG TAX PAYMENTS RISE TO N190BN IN SIX MONTHS

Eight major fast-moving consumer goods companies in Nigeria paid a combined N190.66bn in income tax during the first half of 2026, representing a 53 per cent increase from the N124.59bn recorded in the same period of 2025.

The companies covered include Nestlé Nigeria, NASCON Allied Industries, Nigerian Breweries, Cadbury Nigeria, International Breweries, Dangote Sugar Refinery, Guinness Nigeria and Champion Breweries.

The increase comes as the companies report their first full six-month financial performance under Nigeria’s revised tax regime, which took effect in January 2026.

Analysts attributed part of the rise to the new tax framework, which introduced a four per cent Development Levy on large companies alongside a 30 per cent corporate income tax rate, creating a headline burden of about 34 per cent.

Guinness Nigeria recorded one of the largest increases, with its tax expense rising by 78.1 per cent to N13.03bn. Despite the higher tax bill, its pre-tax profit increased by 60.9 per cent, while net profit rose by 53.3 per cent to N25.30bn.

Dangote Sugar also recorded a significant improvement, moving from a pre-tax loss of N22.11bn in H1 2025 to a pre-tax profit of N44.09bn in H1 2026.

Analysts expect the year-on-year increase in FMCG tax expenses to moderate in 2027 as the impact of last year’s low tax base fades.