NAIROBI, Kenya, July 30 – The East African Breweries Limited (EABL) profit after tax dropped by 12 percent to Sh10.9 billion in the full year ending last month, weighed down by rising inflation, shilling devaluation, social unrest, and floods.
This was a slight drop from Sh12.32 billion in the full year ending June 30, 2023.
In September last year, Kenya’s inflation stood at 6.8 percent, forcing Kenyans to reduce spending on entertainment, et cetera.
The country’s currency also lost value against major currencies such as the US Dollar, Euros, and Sterling Pound.
For instance, the local unit was trading at one US dollar for about Sh160 early this year.
“Inflationary pressures, regulatory changes, rising interest rates and fluctuating currency posed substantial hurdles for consumer spending and business operations,” EABL Group Chairman Martin Oduor-Otieno.
In the period, however, net sales expanded by 13 percent to Sh124.1 billion, buoyed by strategic pricing, a strong portfolio, and new product innovations.
“The Board of Directors recommends a nal dividend of Kshs 6.00 per share subject to withholding tax. This dividend is scheduled for payment on or about 28th October 2024 to shareholders who are duly registered at the close of business on 16th September 2024. If approved, the total dividend for the year will amount to Kshs 7.00 per share (FY 2023: Kshs 5.50).”
