This state of affairs has seen beer maker East African Breweries Limited (EABL) end its financial year with liquor stocks worth Sh10.9 billion plunging its net profits by 39 percent to Sh7.6 billion, a six-year low. This provides a financial peek into just how the Covid-19 pandemic is hurting the beer industry, and wiping away billions of shillings in profits. This reflects a Sh3.6 billion growth compared to a similar period last year or a near 50 per cent rise compared to the Sh7.3 billion in a similar period in 2019. The brewer said the Covid-19 pandemic was the main reason behind the 39 percent dip in net profits from Sh12.1 billion last year to Sh7.6 billion this year. EABL explained that it had a stable first half of the year, which resulted in a volume growth of five percent and sales growth of 10 percent.

Source: Daily Nation July 31, 2020 03:37 UTC