18 August 2014

Rwanda: Bralirwa Records 19.8 Percent Drop in Half-Year After Tax Profits

Beverages maker Bralirwa registered a 19.8 per cent decline in after-tax profits of Rwf6.1 billion during the first half of the year compared to Rwf7.6 billion recorded over a similar period last year.

In a financial statement released over the weekend, Jonathan Hall, the Bralirwa managing director, attributed the decline to a decrease in soft drinks sales, which declined by 8 per cent "because of reduced exports".

However, the brewer's revenues grew by 2.3 per cent to Rwf37.8 billion, from Rwf37 billion in the same period last year.

The volumes sold also increased from 783,000 hectolitres last year to 805,000 hectolitres between January and June 30, 2014.

Hall said the growth in revenue was driven by a positive 'sales mix' and the impact of marginal price increases for the Mutzig and Turbo King beer brands in the last half of 2013.

He noted that increases in prices of raw materials and the effects of the franc depreciation had a toll on the business.

He added the high costs were absorbed with no price increase on either beer or soft drinks over the reporting period.

Hall said investments in the brewery and soft drinks plants have resulted in increased depreciation charges, noting that the company anticipates a similar volume growth trend in the second half of the year.

The firm commissioned a $34 million soft drinks plant in June to boost earnings from beverages whose domestic market is broadly flat, according to Hall.


Common Wealth Forum Seeks to Break Down Gender Barriers

Although Rwanda continues to shine for its progress in gender equality and women empowerment, ignorance, cultural and… Read more »

Copyright © 2014 The New Times. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 1,000 reports a day from more than 140 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.