Brewers of St.Louis and Shake Shake, Sechaba this week reported improved profits year-end financial results even though the company is operating under a tough economic environment and the imposed Alcohol Levy.
In its financial performance for the year ended 31st March 2016, the company led by Johan de Kok has recorded a 7, 8 percent profit for the year realised. This makes it P201, 9 million from P186, 1million realised in the previous year. “This was due to the combination of volume growth from clear beer, alcoholic beverages, sparkling soft drinks categories and selective pricing, improved brand, pack mix and focus on production and distribution efficiencies,” reads de Kok’s financial statement.
According to the statement, Kgalagadi Breweries Limited, an associate of Sechaba Brewery Holdings, has seen a drop in volumes. Total volumes for the year ended were 0, 2 percent below prior year from 2.217.8 hectolitres (hls) to 2.212.6 hls. Clear beer, alcoholic fruit beverages and sparkling soft drinks showed growth, while traditional beer and non-alcoholic beverages category declined. This decline was attributable to water and power shortages and continuing impact of the traditional beer regulations. The company has since declared a final dividend of 69 thebe per share and it was paid on 13th May 2016.