The one-off benefits from the last year's acquisition of Foster's Lager made direct comparisons slightly more complicated at drinks producer SABMiller (SAB). But it was obvious from these results that the developing world's thirst for premium lagers continued unabated. For example, the group generated over $3.8bn (£2.5bn), or 57 per cent of the total, in the high-growth emerging markets of Africa, Latin America and Asia. That more than than offset the lacklustre performance in North America and Europe.
Lager volumes were 3 per cent higher in Latin America, which resulted in underlying revenues growing by 7 per cent to $7.82bn. Add in tight cost control and trading profits were ahead by 11 per cent to $2.11bn. That impressive performance was matched by double-digit volume growth across all African markets, with the exception of Tanzania (due to higher excise duties) and Uganda (due to a weak economy). Profits from the region surged by 20 per cent to $838m on sales 18 per cent higher at $3.85bn. Cumulatively, that more than offset slower growth in Europe as a combination of higher costs, adverse exchange rate movements and aggressive discounting in Poland put a lid on profit growth. Trading profits in Europe only edged up to $784m. Somewhat controversially, management didn't offer detailed guidance for this year but, according to analysts, will instead offer regional updates at regular intervals.
Forecasts are under review but, prior to the results, JPMorgan Cazenove expected adjusted EPS for 2014 of 258¢ (from 238¢ in 2013).
SABMILLER (SAB) | ||||
|---|---|---|---|---|
| ORD PRICE: | 3,478p | MARKET VALUE: | £55.7bn | |
| TOUCH: | 3,477-3,480p | 12-MONTH HIGH: | 3,684p | LOW: 2,342p |
| DIVIDEND YIELD: | 1.9% | PE RATIO: | 25 | |
| NET ASSET VALUE: | 1,646¢* | NET DEBT: | 57% | |
| Year to 31 Dec | Turnover ($bn) | Pre-tax profit ($bn) | Earnings per share (¢) | Dividend per share (¢) |
|---|---|---|---|---|
| 2009 | 18.7 | 2.96 | 125 | 58 |
| 2010 | 18.0 | 2.93 | 123 | 68 |
| 2011 | 19.4 | 3.63 | 153 | 81 |
| 2012 | 21.7 | 5.60 | 267 | 91 |
| 2013 | 23.2 | 4.71 | 206 | 101 |
| % change | +7 | -16 | -23 | +11 |
Ex-div: 14 Aug Payment: 23 Aug *Includes intangible assets of $29.5bn, or 1,841¢ a share £1=$1.508 | ||||
