Russia: Positions of Brewing CompaniesThe review contains an analysis of interim performance of brewers in the first half of 2019. There are rather dynamic changes behind a modest industry growth. Baltika is again experiencing a stage of volumes and market share slid due to competition with AB InBev Efes. Because of the price competition and presence expansion in the modern trade company #2. has come close to the leading position. At the same time sales of Heineken Russia have continued growing which makes the premium part of the portfolio heavier. The market premiumization trend had been also confirmed by import brands. MBC and Zavod Trekhsosenskiy have been the most successful among federal market players. The market share of independent regional brewers and Ochakovo have continued falling as they are being squeezed out by the market leaders at their competitive fields.
Ukrainian beer market 2019: companies and brandsIn 2019 beer production and market have been still fluctuating about zero point. However, the past season was successful for brewers judging by the sales profitability. The price mix has improved due to rapid general market premiumization, as well as its particular aspect, the growth of import beer sales. By the season end AB InBev Efes improved its positions considerably. It turned out that consumers had not forgot Efes brands that had to leave the market, but started to recover rapidly. Against the stagnating market that meant sales decline of other companies, in the first place Carlsberg Group that most of all beneficiated from Efes exiting the market. PPB turned out to be stable to branding activity of its competitor and Obolon kept the same volumes and at the moment it is the absolute leader of the economy segment. The share growth of independent producers took place thanks to leading craft breweries, that so far do not have a big market weight, but they are rapidly gaining it.
Brewing industry in Kazakhstan 2019During the first half of 2019, the majority of Kazakh brewers made their contribution into positive dynamics. Yet it was companies of the lower division, not the two transnational leaders that raised their production and sales. The shares of draft beer and aluminum can which is rapidly squeezing glass bottle out of the market, have been growing. The price segmentation has remained stable despite the substantial rise of retail prices and fluctuations of brand market shares, while the borders between segments have become blurred. The main events in the industry have been: the announced revision of the beer excise policy, launch of BeerKhan brand in the strong beer segment, and most important – purchasing assets of Shymkentbeer by Arasan.
The trend of complication of Russian beer market is going on and in several directions at the same time. The range has got wider, the import and small segments are growing, namely craft beer, alcohol-free beer and special flavor beer. At the same time, all ex-mega brands and light lagers by Russian brewers are experiencing a decline of their shares. AB InBev Efes, Heineken, MBC and Pivzavod Trekhsosenskiy have exceeded the market, Carlsberg was developing slower than the market and Ochakovo as well as some other mid-sized breweries have been cutting down their volumes. To a big extent brewers’ performance was connected to their ability to reach agreement with networks, sacrifice their margin and enter new markets. Craft brewers are facing a serious danger of producers’ registration introduction – de facto licensing. ...
The global outlooks of the legal market of cannabis are excellent. It is possible to simultaneously imagine dry law repeal and craft brewing boom but not in one but in several consumer categories. For alcohol is contained in liquids and cannabis derivatives can be in three physical forms.The value of legal market of cannabis and its products can reach 10% of the world beer market in five years, and in 2030-2040 even reach the same scope provided the current rates of legalization and development of market infrastructure remain at the same level. Cannabinoids are actively integrating into the food industry from chewing gum to beverages deforming the pharmaceutical and alcohol markets, they influence the trends of healthy lifestyle and beauty. ...
SINGAPORE: APB’s group revenue rises 20% in first nine month of 2011
Group revenue for the nine months stood at S$2.24 billion, up 20% or S$370 million as compared with the same period a year ago.
Mr Roland Pirmez, Chief Executive Officer, APB said, “Improvements in Group PBIT, APBE and revenue were mainly due to stronger demand for our brands in Vietnam, Papua New Guinea and New Caledonia. We also recorded an exceptional income of S$36.3 million with the recent divestment of interest in Kingway Brewery that further contributed to our ANP growth of 36%.”
In addition to driving organic growth in its existing markets to improve its earnings profile, the Group made strategic investments to further expand its regional network in recent months. Forging ahead with its premium brand strategy in China, APB commissioned its 50%-owned greenfield brewery, in Guangzhou in May 2011. It also extended its presence in the South Pacific by acquiring a 97.69% interest in Solomon Breweries Limited in June 2011.
Operations Review (YTD)
South & South East Asia (Singapore, Export Markets, Malaysia, Indonesia and Sri Lanka)
Volume and PBIT for the region rose 25% and 37% respectively, boosted mainly by the acquisition of breweries in Indonesia in February 2010. Excluding the results from Indonesia from October 2010 to January 2011, PBIT grew 4%, driven by higher volumes in Singapore, Malaysia and Sri Lanka as well as improved margins in Indonesia.
Indochina (Vietnam, Cambodia and Laos) & Thailand
Volume for the region grew 18%, led by continued growth momentum in Vietnam. Increased marketing also lifted volumes in Cambodia and Laos.
PBIT grew 20%, underpinned by higher volume and better margins in Vietnam. Excluding translation losses that arise mainly from the 18% devaluation in the Vietnamese dong, PBIT grew organically by 41%.
North Asia (China and Mongolia)
PBIT for the region fell 15% to S$1.8 million. The region incurred higher gestation losses from the newly-commissioned brewery in Guangzhou while improved margins and volumes were reported in Mongolia.
Oceania (New Zealand, Papua New Guinea and New Caledonia)
Volume and PBIT for the region grew 10% and 27% respectively. The strong performance was mainly attributed to contributions from the newly acquired brewery in New Caledonia. Excluding the results from New Caledonia from October 2010 to January 2011, PBIT grew 20% due to higher volumes and improved margins in Papua New Guinea.
Corporate office expenses were higher than same period last year mainly due to higher personnel expenses offset by higher royalty income and lower marketing expenditure.
Rising inflation in our main markets compounded by the recent global economic uncertainties may dampen consumer demand.
Strengthening of the Singapore Dollar against regional currencies, particularly the Vietnamese Dong, will continue to adversely affect the reported financial results of the Group.
The company share price has further appreciated in the last three months, resulting in a higher provision for employee share-based expenses. Taking the current share price as a reference, additional provisions will be required for the last quarter of the financial year.
13 Авг. 2011