By Phil Boeyen, ShareChat Business News Editor
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Thursday 1st November 2001 |
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The company, which last year divested a range of non-core assets including winemaker Corbans, Allied Liquor Merchants and NZ Liquor, has seen its return on equity jump from 10.8% to 15.8% in its latest result.
The return is based on net profit after tax and minorities from continuing operations which was $20.2 million.
Bottom-line net profit was $58.28 million, up from $22.99 million last year. The figure includes the gain of $34.7 million from selling Corbans to Montana in October last year.
DB Group now consists solely of DB Breweries Limited and the liquor franchise, Liquorland.
MD, Brian Blake, says the strong year-end operating performance is pleasing considering the difficult and challenging market, with comparative sales rising slightly to $278.3 million from $276.2 million.
"Whilst the market has been difficult, DB Breweries continues to achieve success in building its key brands, particularly in the growing premium segment," says Mr Blake.
"Heineken, the leading premium brand in New Zealand, has further improved its position during the past year whilst Monteith's has been the company's fastest growing brand, achieving growth of over 20%."
Other major brands, Tui and Export Gold, have also experienced growth, the company says.
On the down side, DB reports that inflation and the lower dollar have hit margins and operating costs.
Progress on the $60 million redevelopment of the company's Waitemata brewery site is progressing well with the project scheduled to be completed by August next year.
A final dividend of 15.5 cents per share has been declared which, combined with the interim dividend, makes a total dividend for the year of 27 cents per share.
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