East African Breweries PLC (EABL) has announced Kshs 57.3 billion in net revenue for the half year ending 31 December 2022.
This represents a 4% increase over the same period last year.
This was exacerbated by excise-related price hikes in Kenya in July and October, which had a major impact on consumption of our products.”
EABL Group Managing Director & CEO, Ms. Jane Karuku said the brewer was positive of the future dispite the shocks caused by economic challenges.
“We will continue executing our strategy to navigate the prevailing macroeconomic volatility, leveraging our portfolio of extraordinary brands, smart investment, fuelled by our culture of everyday efficiency.”
We are also staying close to our consumers, taking advantage of our commercial capabilities and digital tools to enable us rapidly understand trends and execute with precision.”
Following the 2022/23 Budget, Kenya’s excise duty on beer and spirits went into effect in July 2022, increasing by 10% and 20%, respectively.
Beer and alcohol consumers faced an additional 6.3 percent excise tax rise in October 2022 as a result of annual inflationary adjustment.
These hikes followed a yearly higher excise adjustment in 2021, resulting in a compounded annual excise tax rise of 23% for beer and 34% for spirits.
EABL’s net sales growth in Kenya, its largest market, regressed by 1%, while Uganda and Tanzania rose by 19% and 11%, respectively.
