RWANDA – Bralirwa Limited, the largest brewer and soft beverage company in Rwanda, has reported a 15.4% growth in revenue to Rwf 123.5 billion (US$120m) in the full year ended March 2022 from Rwf 107 billion (US$104m) reported in the previous corresponding period.
The positive top-line performance was driven by volume growth for both beer and soft drinks and better mix of premium products.
According to the company’s financial update, total volume jumped by 9.6% with beer registering a hike of 7.5 % as a result of continued re-opening of the market as COVID-19 measures were relaxed.
This was supported by consistent focus on Off-trade and On-Trade channels i.e., boutiques, mini markets, supermarkets and restaurants.
Soft Drink volume increased by 17.7% driven by revamp of the non-alcoholic beverages route-to-consumer.
Its operating results increased by 57.4% to Rwf 31.2 billion (US$30.4m) compared to Rwf 19.8 billion (US$19.3m) in 2020 driven by efficiency in operations, cost saving initiatives and revenue increase.
A continued focus on cost saving coupled with operational efficiencies resulted in an improved Gross Profit (GP) which increased by 19.5%.
“Revenue management combined with a focus on cost savings initiatives as well as operational efficiencies significantly impacted positively the operating results.
“However, to drive sustainable performance, we continued to invest in our people, brands, capacity, sustainability and digital solutions,” noted the company.
Overall profit and total comprehensive income increased by 94.6% to Rwf 17.5 billion, resulting in better earnings per share of Rwf 17.03 compared to Rwf 8.75 in 2020.
Bralirwa established in 1957 is majority owned by Heineken claiming 75% ownership of the company with the remaining 25 percent stake held by individual and institutional investors.
Its beer brands include Primus, Mutzig, Turbo King, Amstel, Legend Extra Stout and Heineken brands. Soft drinks include a selection of popular Coca-Cola brands.
The beverage company also jointly owns a commercial farm with Minimex. However, the Bramin farm is yet to make any returns as it was found to be requiring further improvement in operational results, efficiencies, cost savings and crop rotation in order to become profitable.
According to the Bralirwa, in 2020, the loan to Bramin was fully impaired and the liquidation process is ongoing by the Registrar General Office.