Bralirwa Plc reports 2023 First Half Year Results

On 2 August 2023 at 08:46

Kigali, 31st July 2023 – Bralirwa Plc. announces its unaudited financial results for the period ended 30 June 2023. Highlights include:

  • Revenue increased by 17.5% driven by appropriate pricing to offset inflation in 2023. The volume decreased slightly by 2% due to slowdown of soft drinks growth in the first half of 2023.

Results from operating activities mainly driven by top line growth and other income partially offset by:

  • Increased cost of sales (18.4 % vs. LY) due to higher cost of inputs (raw and packaging materials) in line with global inflationary and commodity trends.
  • Higher selling and distribution costs (20.1 % vs LY) driven by higher cost of transportation, as well as higher commercial expenses to drive outlet visibility.
  • Higher administrative costs (12.5% vs LY) driven by staff recruitments and adjustment of staff salaries to mitigate inflation.
  • Net finance costs increased by 57.8 % mainly driven by foreign exchange cost following the Rwandan franc depreciation against the euro and dollar.
  • Income tax expense increased by 20.6 % mainly driven by high Profit Before Tax vs last Year.
  • Bralirwa’s operating result increased to Rwf 23 billion (HY1 2022: Rwf 20 billion) resulting from topline performance and effective cost management. Profit and total comprehensive income for the first half year of 2023 grew by 3.5 % to Rwf 12.9 billion (HY 2022: Rwf 12.5 billion).

Etienne Saada, Vice Chairman of the Board and Managing Director of Bralirwa Plc. commented:

Bralirwa’s operating result increased to Rwf 23 billion (HY1 2022: Rwf 20 billion) as a result of top-line growth and efficient cost management. Profit and total comprehensive income increased by 3.5% to Rwf 12.9 billion in the first half of 2023 (Rwf 12.5 billion in HY 2022).

Outlook 2023

In the coming year, African economies are projected to be impacted by ongoing uncertainty and resulting volatility in the global economy, particularly in input costs. Our goal for 2023 is to increase top-line, margin, and profit growth in order to consistently outperform in the Rwandan market as well as the larger African Region. This will be accomplished by planned growth in HY2 volume and value, as well as cost management. However, input costs continue to be a macroeconomic concern, with implications for the economy and our business.

About Bralirwa Plc.

Bralirwa Plc is a world-class sustainable beverage company in Rwanda. It is the market leader in premium and non-alcoholic brand manufacturing and distribution. Founded in 1957, Bralirwa Plc has been part of the HEINEKEN Group since 1971. Our values are what we stand for. Passion for consumers and customers, Courage to dream and pioneer, Care for people and planet and Enjoyment of life. With a portfolio of more than 17 international and local beers and beverages, we ignite the moments that bring people together and create unforgettable bonds. Bralirwa has been dedicated to making a positive difference in Rwanda for over 66 years. We recognize that we can only thrive if all our people, communities, and planet thrive as well. As a socially responsible company, we always support a wide range of projects, from the environment to stakeholder relationships, to name a few.

To remain a pioneer in the market, we strive for the highest quality while maintaining the trust of our customers and partners. Our goal is to shape the future of beer and win the hearts of consumers. We are committed to long-term brand investment, disciplined sales execution, and operational efficiencies.

Bralirwa Plc has registered Rwf12.9 billion profit in first half of 2023.