Developing Markets Drives Sales and Earnings Growth at SABMiller
Global brewer SABMiller has increased lager volumes by 3% on an organic basis for the six months to September 30th 2011 led by robust growth in Latin America, Africa and Asia. Reported group revenue rose by 10% to $15.69 billion with organic, constant currency revenue growth of 6%. EBITA also grew by 10% to $2.70 billion, with organic, constant currency EBITA up 6%: Profit before tax, including exceptional charges of $191 million (2010: $285 million), increased by 21% to $2.04 billion.
While EBITA growth rose by double digits in Latin America, Africa and Asia and by single digits in South Africa, profits fell in Europe and North America by 6% in both regions.
“Top and bottom line growth has been strong in most of our developing market businesses, propelled by our continued investment in brands, sales and marketing capability and production capacity,” says Graham Mackay, chief executive of SABMiller. “Market conditions have remained challenging in the USA and much of Europe and increases in input costs have continued, as expected. We have taken further steps to extend our global portfolio: our planned alliance with Anadolu Efes and recommended proposal to acquire Foster’s both represent strategically important moves into attractive markets.”
