East African Breweries Limited’s (EABL) profit after tax fell by 12% to Sh10.9 billion in the fiscal year that ended last month, weighed down by growing prices, shilling devaluation, social upheaval, and floods.
This was a modest decrease from Sh12.32 billion in the fiscal year ending June 30, 2023. Kenya’s inflation rate was 6.8 percent in September of last year, causing Kenyans to cut back on leisure, among other expenses.
The country’s currency also lost value against major currencies such as the US dollar, euro, and pound sterling.
“Inflationary pressures, regulatory changes, rising interest rates, and fluctuating currency posed substantial hurdles for consumer spending and business operations,” Martin Oduor-Otieno, CEO of EABL Group.
During the year, net sales increased by 13% to Sh124.1 billion, boosted by judicious pricing, a solid portfolio, and new product improvements.
The Board of Directors recommends a total dividend of Kshs 6.00 per share, subject to withholding tax.
This dividend is expected to be paid on or around October 28, 2024, to stockholders who were duly registered at the close of business on September 16, 2024. If granted, the total annual dividend will be Kshs 7.00 per share.
EABL PLC East African Breweries PLC (EABL) is a regional leader in the beverage alcohol industry with an exceptional collection of beer and spirits brands.
Although its business is concentrated in three core markets of Kenya, Uganda, and Tanzania, its products are sold in more than 10 countries across Africa and beyond.
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