Beer market of Russia 2018
- General market picture
- Foreign trade setting records
- Demography as challenge to branding
- Aged consumer
- Declining of youth brands
- Nostalgia on trend
- DIOT feels at home
- 5.0 Original is the new face of import
- Positions of Market Leaders
- Carlsberg Group
- AB InBev Efes
- AB InBev
Ukrainian beer market 2018
- Better than yesterday
- Performance by value
- Positions of Ukrainian brewers
The beer market dynamics in Russia is approaching zero, yet major brewers are divided into those who developed considerably in 2017 and those who considerably reduced their volumes. For instance, company Efes has managed to substantially extend their sales due to restrained pricing policy and activity in the modern trade. Heineken has also demonstrated an excellent performance promoted by significant increase of advertisement budgets launching a non-alcohol sort of the title brand and unusual activity in the economy market segment. Carlsberg and AB InBev have been focusing on margins and lost a market share of their inexpensive brands. Serious dependence on PET package and mass enthusiasm about Zhigulevskoe have negatively impacted the most of big regional brewers, that have been for the first time pressed by the leaders in the key sales channels, especially in Volga and Central regions. In the small business there has been a noticeable slowdown in appearing of new restaurant breweries, yet the number of craft breweries has been growing rapidly. In 2018, the beer market is likely to grow a little, while the share of AB InBev Efes may decrease due to the integration. ...
“Catalogue of Russian Beer Producers 2018” includes 1070 businesses ranging from large subsidiaries of international companies to rather small restaurant and craft microbreweries.The catalogue includes 32 large breweries, 75 regional breweries, 693 industrial mini- and microbreweries as well as 270 restaurant breweries. ...
India. United Breweries: the beer drought ends
Beer guzzlers went on a binge in the December quarter. What prompted this is not really known, but the industry is not complaining. Sure, there was a low base effect, but not enough to explain the 13% increase from a year ago in the beer industry’s growth.
United Breweries Ltd’s (UB’s) earnings release called this growth extraordinary. In the year-ago quarter, volumes had risen by 1%. In the first half of FY16, volumes fell by 1%. The December quarter marks a sharp deviation in trend. If it reverses in March, it will go down as an aberration.
The growth in industry volumes obviously benefited UB too, whose net sales rose by 15.1% over a year ago. A Kotak Institutional Equities note had estimated sales growth at 9% and Ebitda (earnings before interest, taxes, depreciation and amortization) growth at 19%. UB also benefited from soft input prices, with its material costs rising by only 10.2%. The company attributed this to product mix, that is, due to selling more of higher margin products.
UB’s Ebitda, therefore, rose by 50.8%, even after accounting for increases in expenses on salaries, promotions and other expenses. Its profit after tax rose by 80.6% over a year ago. The company’s results were announced post-market close on Tuesday. Since January, its share has declined by 14.9%. These results may help the share get back on its feet.
Investors will want to know what is driving the recovery in volumes and if it is sustainable. Fortunately for the company, the low base effect will continue all the way till mid-FY17. Even if the December quarter’s level of growth is not fully sustained, even if some part of this growth is repeated, it is better than a decline and should mean a healthy performance from UB in the near-to-medium term.
3 Фев. 2016