SABMiller H1 Profit Rises

SABMiller PLC

reported a gain in its profit for the six months to Sept. 30. The company's net profit for the half year climbed to $1.97 billion, versus a year-ago profit of $1.71 billion. Its revenue gained 2% to $11.37 billion. Earnings before interest, tax, depreciation and amortisation came in almost flat at $3.28 billion in the period. In Latin America, EBITA rose 7%, while EBITA climbed 3% in Africa. In Asia Pacific, EBITA dropped 17%, while EBITA slipped 2% in Europe. In North America, EBITA climbed 7%. EBITA margin narrowed 30 bps to 23.4%. Free cash flow rose 66% to $1.49 billion. Its soft drink volumes gained 9%, while lager volume shrank 1% on an organic basis. Total beverage volumes rose 1% on an organic basis. The company raised its interim dividend by 4% to 26 cents per share. Alan Clark, Chief Executive of SABMiller, said: “We continued to grow earnings in the first half with challenging trading conditions mitigated by ongoing efficiencies. Group net producer revenue was driven by lager growth in Africa and Latin America and strong performance in our soft drinks businesses in Africa, Latin America and Europe. Lower lager sales in parts of Europe and Asia Pacific resulted in a small group EBITA margin decline during the half year. “ SABMiller shares rose 0.30% to close at $55.48 yesterday.