EABL announced its Half Year results for the period ending 31 December 2015. In inspecting closely the financials we find very interesting numbers.
Topline Performance
Revenue grew by 8.24% to stand at KES 37.513Bn compared to KES 34.657Bn for a similar period in 2014. The company attributes this growth due to double digit growth in 5 out of the 8 product segment. Notable brands that performed well are Senator Keg, Chrome Vodka, Kenya Cane Coconut and Allsopps Stout.
Kenya contributed to 22% net sales growth. Sales in Uganda and Tanzania remained flat.
Cost Management
Selling and distribution costs increased by 1.77% to KES 3.244Bn compared to HY 2014.
Administrative Costs increased by 15.85% to KES 5.094Bn compared to KES 4.397Bn in HY 2014.
Finance Costs reduced drastically by 29.45% from KES 2.193Bn in HY 2014 to KES 1.547Bn, this huge savings contributed to the surge in profits.
Other Income
Other Income figure of KES 191.84Mn was recorded which indicates good improvement compared to an expense of KES 447.62Mn made in 2014.
Finance Income surged also to KES 187.59Mn compared to KES 11.55Mn posted in a similar period in 2014.
Bottom Line Performance
Profit Before Tax was up by 14.5% to KES 7.922Bn compared to KES 6.916Bn in 2014.
Net Profit for the period was KES 7.734Bn compared to KES 4.622Bn in 2014. This represents an increase of 67.3% which is heavily attributed to a one off profit made from the disposal of their glass manufacturing subsidiary CGI amounting to KES 2.25Bn.
A dividend of KES 2.00 per share was recommended by the board.
Conclusion
Strong Results!!
Download link: EABL Ltd.- Half Year Results for the 6 months period ended 31st December 2015.pdf
