Japan: Asahi reports 3% revenue decrease for 2020

Asahi has reported a 3% revenue decrease, its full-year 2020 results showed, Checkout.ie reported on February 15.

The Japanese beverage group said its core operating profit fell by 21% year on year 'due to impact of COVID-19 pandemic.'

The company said its alcohol business declined in revenue and profits, compared to 2019 due to the sales decrease mainly in its on-trade business, despite promoting sales for the off-trade channel and control of overall fixed costs.

Asahi's soft drinks arm also showed a year-on-year decline in revenue and profits due to weak vending machine sales, despite concentrating on core brands and promoting control of overall fixed costs, it said.

According to the report, the company's food business showed a fall in revenue and profits due to the sales decrease of its Mintia brand, despite the promoting sales to capture the staying-at-home demand and control of overall fixed costs, it added.

The company said that in 2020 it 'expanded foundations for growth' through the acquisition of Australian brewer Carlton and United Breweries (CUB).

Asahi noted that it has built a global platform with three core pillars in Japan, Europe, and Australia with the addition of the CUB business.

Looking ahead to 2021, the company said it is targeting a 13% revenue growth and 30% core operating profit growth driven by the recovery of existing businesses and impact from consolidation of CUB business.