SBL records ‘impressive’ sales growth |31 October 2011

SBL’s AGM in progress

This was announced at the weekend by the SBL’s Board of Directors chairman Nick Blasquez, who added that this has contributed towards the growth of the local beverage industry.

Mr Blasquez was speaking at the company’s annual general meeting on Saturday at the Constance Ephelia Resort at Port Launay, during which dividends of R4.05 per share were declared and approved. This is up over 50% from R2.60 last year and only R2.10 for the three previous years.

It prompted Mr Vasquez to comment that Seychelles Breweries shares are “highly valued, with good yields”.

He told shareholders that the performance of Seychelles Breweries is commendable, especially in the light of the increased competition from imports over the last year. He noted that from 2% sales growth in 2010, the company’s sales has grown by 19%. It has registered a 12% growth in trading profit.

Mr Blasquez said SBL’s market share in beer, soft drinks and spirits has grown and that imports have ceased to worry the local beverages company.

He also stressed that SBL has reduced its usage of energy and water which reduced its costs and counter-acted a significant rise in fuel costs. 

He also said that despite a severe water supply restriction linked to the May- August drought, SBL remained fully operational throughout.
Water recovery and recycling projects were implemented and these had a significant  impact in reducing water usage by 20%.

Mr Blasquez said water is a resource that is always high on the company’s agenda. For example, to commemorate World Water Day in March, SBL supported the non-governmental organisation Sustainability for Seychelles in its rainwater harvesting initiative by signing a pledge to donate over 100 empty barrels over a one-year period. The familiar blue barrels are popular among the Seychellois public to capture water from the roofs of houses.

For the financial year, turnover reached R465.8 million compared to R422.2 million the previous year.
Profit before taxation was R124 million, which after company taxation stood at R83.4 million.

In terms of sales volume, coca cola was the most popular beverage, making up 38% of the total, followed by Seybrew (24%), Seypearl (16%), Eku (11%), Guinness (8%) and Smirnoff Ice (2%).

Guinness Overseas is the main shareholder, holding 26% of shares, followed by Diageo Holdings with 24%, while among local shareholders, the Seychelles Pension Fund has 26.33% and other shareholders 19%.