DB Breweries today announced it had lifted its September year net profit to $25.38 million from $22.56 million a year earlier.
The company said it had lifted its final, fully imputed dividend to 20.5 cents per share from 14.5 cents per share a year ago. It will be paid on December
3.
Sales rose 10.7 per cent to $318 million.
Earning per share rose to 50.3 cents from 44.7 cents a year ago.
DB Breweries is 76 per cent owned by Singapore-based Asia Pacific Breweries (APB) Group, which in turns in turn is 42.5 per cent owned by Dutch brewer Heineken NV and 38 per cent by local soft drinks group Fraser & Neave.
The operating surplus before interest and tax rose to $34.6 million from $31.0 million.
Property sales and the reversal of provisions lifted this year's profit by $1.1 million.
Net cash inflow before borrowings was $6.7 million against a $30.2 million outflow last year.
Managing director Brian Blake said the continued strengthening of the profile of its key brands had resulted in the higher sales and profit. The company, which brews Heineken beer here, had consolidated its position in the premium beer market, he said.
The Heineken, Monteith's and Tui brands all achieved double-digit growth rates.
The higher sales were helped by the purchase of NZ Liquor retail stores. Beer sales were up 6.3 per cent.
Significant cost reductions were also achieved in the period, with a strong contribution from efficiencies achieved as a result of the recent $60 million investment on the redeveloped Waitemata site.
The company recently completed a comprehensive review of its organisational structure and business processes and this resulted in improved performance, Mr Blake said.
The company's tax expense of $9.3 million was helped by the release of a $1.9 million provision held for company income tax assessed in the early 1990s but disputed by the company. DB won the dispute with Inland Revenue.
DB's Liquorland chain performed ahead of forecast with both store numbers and revenue exceeding last year.
Mr Blake said the company was well placed to meet its increased sales forecasts in the current year and its reorganisation should continue to reap gains.
DB shares closed yesterday at $7.65, 10 cents below their 12 month high and against a 12 month low of $5.60.
- NZPA
DB Breweries today announced it had lifted its September year net profit to $25.38 million from $22.56 million a year earlier.
The company said it had lifted its final, fully imputed dividend to 20.5 cents per share from 14.5 cents per share a year ago. It will be paid on December
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