SABMiller first quarter total beverage volumes up 3%

Global breweries company SABMiller (SAB) said its total beverage volumes grew by 3% in the first quarter‚ mainly due to strong demand from its African and European operations.

SAB's Alan Clark says the first quarter produced strong growth for the company in Africa and Europe, which was partially offset by a drop in demand in Australia. Image: SABMiller

Soft drinks and beer volumes from its South African unit jumped by 12% during the period‚ buoyed by the number of public holidays during Easter and favourable weather conditions.

The company said South Africa's premium lager portfolio performed well with both Castle Lite and Castle Milk Stout delivering double-digit volume growth.

In Europe total volumes were up by 5%‚ with revenue from the UK climbing 23% mainly because of strong demand for the Peroni lager. Improved distribution channels also helped boost volumes.

"Strong growth in Africa‚ South Africa and Europe was balanced by slower momentum in North America and a reduction in NPR (net producer revenue) in Australia in difficult trading conditions‚" SABMiller Chief Executive Alan Clark said.

SABMiller‚ which also makes Miller Lite and Pilsner‚ said beverage volumes in Latin America increased by 2%‚ despite a number of one-off trading restrictions in Colombia.