In a surprising turn, East African Breweries Limited (EABL) has reported a full-year profit after tax increase of 12 percent, reaching Ksh 12 billion for the financial year ended June 30, 2025.
This performance marks a notable rebound compared to the prior year in which earnings were softer. The result comes at a time when peers in the sector faced declining revenues due to economic pressures.
EABL attributed the improved performance to a combination of strategic pricing, operational efficiency, and resilient demand across its East African footprint. Net sales rose robustly, supported by a strong product mix and market share gains in both beer and spirits categories.
Management highlighted that volume growth continued to strengthen across key markets, with premium segments particularly buoyant thanks to growing consumer preference.
Senior executives emphasized that the firm managed headwinds from inflation and currency pressures more effectively this year. Cost containment measures especially in supply chain optimization and improved local sourcing helped mitigate the effects of rising input prices.
In an official comment, EABL’s leadership noted that the rebound was driven by disciplined execution and a focus on high-margin offerings.
The firm’s board has proposed a final dividend in line with its earnings improvement. Shareholders can expect a payout reflecting the upward trajectory, building upon interim dividends declared earlier in the year.
Industry analysts view EABL’s result as a demonstration of its ability to navigate a challenging macroeconomic environment.
“Despite stiff competition, regulatory hurdles, and constrained consumer spending, EABL delivered a solid +12 percent lift in profit after tax,” said one sector expert following the release.
The result sharply contrasts with the previous year when the company recorded lower earnings as volumes dipped and cost pressures intensified.
Looking ahead, EABL remains cautiously optimistic. Management plans to invest further in its advantaged brand portfolio and expand market penetration in Uganda and Tanzania, where growth momentum is strong.
The company also flagged opportunities for higher innovation-led premium product introductions and digital engagement campaigns to sustain consumption trends.
EABL’s full-year report underlines a significant turn around from margin compression and profit decline last year to a healthier profit pool this year. With earnings now back above the Ksh 12 billion threshold and shareholder returns improving, the brewer appears to have regained footing in a volatile but recovering market.
Written By Ian Maleve
