Some of Nigeria’s biggest and most reliable dividend-paying companies seem poised to once more compensate investors following two tough years defined by currency volatility and skyrocketing finance costs.
Signs of an earnings rebound in 2025 are boosting hopes that dividend checks would soon begin arriving in investor accounts.
For income-focused investors, this is much more than merely cash inflows.Regular payments frequently boost investor confidence, which helps share prices to rise and draw new funds into the market. Conditions are lining for a dividend return as foreign exchange rates level off, businesses fix their balance sheets, and operations gather pace.
Nigerian Breweries last declared dividends in 2022 before large FX-related losses stopped distributions. Those setbacks peaked with a N183 billion loss in 2024, but by mid-2025, the company reported a remarkable N88.42 billion profit after tax. Retained losses have nearly halved, and analysts believe full-year earnings could reach up to N180 billion, potentially clearing the path for dividends by the 2025 financial year.Having already ended its six-year drought, Champion Breweries paid six kobo per share from earnings in 2024 and continues to report its best results in years.
The News Chronicle understands that MTN Nigeria is experiencing one of its most impressive turnarounds since listing in 2019. After back-to-back heavy losses eroded equity, the telecoms giant posted N415 billion profit in the first half of 2025, significantly reducing retained losses and moving closer to positive equity. Analysts now see a realistic chance of dividends returning sooner than initially expected, driven by strong data revenues and efficiency gains.
After significant losses in 2023 and 2024, Nestle Nigeria is likewise headed down. Positive FX gains and better margins in 2025 have lowered its negative equity; dividend territory is therefore feasible in the near future. Though a conservative dividend in 2026 seems more likely, Cadbury Nigeria—last paid dividends in 2022—has returned to profitability and is reducing its retained losses.
Recovery unites all of these industries: foreign exchange stability, cheaper finance costs, and operational improvements are resuscitating balance sheets.Should present trends continue to year-end, 2025 might signal the start of a new age when some of Nigeria’s most well-known firms not only get back profitability but also restore the dividends that long-term shareholders have been expecting.
