Kirin Holdings Full-year Profit Declines

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Japanese brewer Kirin Holdings Co. reported Friday a lower profit for the full year 2011, citing a slowdown in overseas economies and rising value of the yen. The company also issued guidance for the first half and full year 2012.

For the full year, the company’s net income declined to 7.41 billion yen from 11.39 billion yen in the prior year. On a per share basis, net income was 7.14 yen, significantly lower than 11.93 yen per share a year earlier.

Operating income was 142.86 million yen, down from 151.61 million yen in the previous year.

Sales for the current year declined to 2.07 trillion yen from 2.18 trillion yen a year earlier.

In the domestic alcohol beverages business, sales were down 6.5 percent and operating income dropped 3.6 percent from last year. In the domestic non-alcohol beverages business sales declined 9.5 percent.

Meanwhile, in overseas beverages business, sales grew 12.4 percent. Pharmaceutical and biochemicals business revenues dropped 17.9 percent from the previous year.

The company noted that in the domestic alcohol beverages business, despite the effects of a decline in consumer sentiment and constraints in manufacturing and supply systems following the Japan earthquake, it was putting effort to strengthen its core brands to regain sales.

Looking ahead to the first half of 2012, the company expects net income of 13 billion yen or 13.52 yen per share on sales of 1.06 trillion yen.

For the full year 2012, Kirin expects net income of 48 billion yen or 49.91 yen per share on sales of 2.23 trillion yen.

The company also declared a year-end dividend of 13.5 yen per share and projected an unchanged dividend of 27 yen per share for the full year, 2012.