Diageo East Africa’s Unit Posts Lower Profit for Second Year
- Financing costs jump 49%, while cost of sales up 13%
- Company’s share price has rallied about 38% year-to-date
A bottling plant operated by East Africa Breweries Ltd. in Nairobi.
Photographer: Patrick Meinhardt/Bloomberg
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East African Breweries Plc’s annual profit dropped for a second straight year as financing charges ballooned by nearly 50% and foreign-exchange losses jumped 84%.
The Kenya-based unit of Diageo Plc reported profit for the year through June 30 of 10.87 billion shillings ($83 million), a fall of 12%, even as net revenue climbed by 13%. Group volumes increased by only 1% from a year earlier.