Related Articles
Top Stories
May 27 2012 11:21
There's a price war raging between South Africa's cellphone networks after Cell C lowered the rates of its prepaid calls by more than 34%.
May 27 2012 11:49
The country's 200 000-odd Tupperware agents are angry about the counterfeit products being sold as the real McCoy.
May 27 2012 11:05
As far as repayments on home loans are concerned, South Africans are in a much more favourable position than their foreign peers.
Johannesburg - Brewer SABMiller (SAB) on Friday said its board had recommended a final dividend of US42c per share to be paid to shareholders on August 28.
In posting its review of performance for the year to March 2009, SABMiller reported headline earnings per share of US119c against US133c previously, while adjusted earnings per share were 4% lower at US137.5c, due to a significant increase in net finance costs which was partly offset by a lower effective tax rate.
The adjusted earnings per share showed double-digit increases when measured in rand and sterling. On a statutory basis, basic earnings per share of US125.2c were 7% lower, the group said.
Total beverage volumes grew 2% to 260 million hectolitres, with reported lager volumes also rising 2% to 210 million hectolitres including acquisitions in Europe, Africa and Asia.
Adjusted profit before tax of $3 405m decreased by 6% over the prior year primarily as a result of higher commodity costs, increased finance costs and the impact of the translation of local currency results into US dollars, SABMiller said.
Net cash generated from operations before working capital movements (EBITDA) of $4 164 million was $354m (8%) lower than last year. The decrease was due primarily to the reduction in EBITDA from North America following the formation of the MillerCoors joint venture, since EBITDA as defined excludes cash flows from associates and joint ventures, the group said.
South Africa lager volumes declined 2%, while EBITA was down 8% on higher input costs.
Meyer Kahn, chairman of SABMiller said: "I am pleased to report another robust performance from your company. We all know that things have been tough this year. Not only did we face softening consumer demand, we also had to contend with an increase in commodity costs and a strengthening US dollar.
"We continued to invest in the business, with capital expenditure during the year totalling some $2 100m and acquisitions a further $30m. Despite this very significant investment, net debt at the year end was lower than the prior year and the group remains financially strong."
Chief executive Graham Mackay said: "While there is little we can do to influence the macro-economic environment at the present time, there is much that remains within our control - not least, to keep building our local brands, to develop the beer category and to increase the share of beer within the
alcohol market in developing countries. SABMiller's long experience and inbuilt resilience provide strong grounds for confidence in the testing year we undoubtedly face."
Looking ahead, SABMiller said the group remained confident in its medium- term prospects. "We are taking appropriate short-term mitigating actions in certain countries to reduce costs. Investment plans have been reviewed and curtailed where necessary in the light of expected economic conditions, but we
continue to invest selectively to support growth.
"The group remains in a strong financial position, and we are confident that we will continue to benefit from the strength of our brands and our globally diversified and well-balanced portfolio of businesses," it said.
- I-Net Bridge