Companies

EABL half-year profit jumps to Sh8.7bn on bars reopening

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Beer production line at the EABL plant in Ruaraka, Nairobi on October 9, 2019. PHOTO | JEFF ANGOTE | NMG

East African Breweries Limited (EABL) #ticker:EABL net profit has more than doubled in the six months to December on the back of higher alcohol sales as Covid-19 restrictions eased, and bars re-opened.

The brewer’s net earnings jumped 130 percent to Sh8.7 billion from Sh3.79 billion booked in a similar period in 2020.

EABL Group chief executive Jane Karuku said the re-opening of bars in the second quarter boosted its total sales, which jumped to Sh54.9 billion, or 23 percent, for the period from Sh44.4 billion a year earlier.

“EABL’s performance for the half-year ended 31 December 2021 demonstrates a strong recovery from the impact of the Covid-19 pandemic that affected the last two financial years,” said the brewer in a statement on Thursday.

Revenues from Kenya grew 27 percent, followed by Uganda 18 percent and Tanzania at 15 percent.

The Nairobi Securities Exchange-listed firm has declared an interim dividend of Sh3.75 per share, resuming the payout after it had for the first time withheld it to conserve cash following the pandemic.