Sechaba profit up 7.8%

SHARE   |   Monday, 20 June 2016   |   By Kabelo Adamson
Johan De Kok Johan De Kok

Sechaba Brewery Holdings Limited whose sole operation is Kgalagadi Breweries Limited has reported a 7.8 percent increase in profit for the year ended 31 March 2016. The company led by Johan de Kok says it made P201.9 million as compared to P186.1 million the year before. Sechaba, which has been grappling with unfavorable trading conditions such the alcohol levy and traditional beer regulations leading to closure of some of its depots across the country, has indicated that volumes for the year were 0.2 percent lower than the previous year.

“Clear beer, alcoholic fruit beverages and sparkling soft drinks showed growth, while the traditional beer and non-alcoholic beer beverages category declined due to water and power shortages and continuing impact of traditional beer regulations,” de Kok said in a statement. The improved financial perfomance is said to be due to the combination of volume growth from clear beer, alcoholic fruit beverages, sparkling soft drinks categories and selective pricing, improved brand, pack mix and focus on production and distribution efficiencies. Sechaba shareholders were in May paid a dividend of 69 Thebe per share.