Africa: East African Breweries reported a 14% growth of pre-tax profit in 2006

East African Breweries has posted a pre-tax profit of 5.3 billion shillings for the six-month period ending 31st December 2006, KBC reported February 23.

The profit represents a 14 percent growth on 4.6 billion shillings posted for a similar period the previous year.

Group commercial director Chris Caldwell says the company has earmarked 1.4 billion shillings as interim dividends to its shareholders at a rate of 2 shillings and 15 cents.

The company increased earnings per share by 11 percent to 4.57 shillings.

EABL operates in three East African countries that contributed as follows to the pretax profits; Kenya 4.3 billion shillings, Uganda 600 million shillings and Tanzania 400 million shillings.

Speaking at a Nairobi hotel during the half-year results announcement, Caldwell said increased marketing campaigns; better mix of brands and a growth in beer volumes drove the increase in profitability.

This year, Caldwell said the company will further increase investments in marketing and improve distribution of spirits to increase their sales in addition to building a new bottling line in Kenya to boost its growth.

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