SINGAPORE (Feb 14): Thai Beverage posted a 28% rise in 1Q17 earnings to 7.7 billion baht ($313 million) from 6 billion baht in 1Q16.
This was due to higher net profit from its beer business of 160%, higher contribution from subsidiaries F&N, Frasers Centrepoint Limited and a smaller net loss for its non-alcoholic business.
For the 1Q ended Dec, total sales revenue came in at 46.8 billion baht, a decrease of 8.0% 50.9 billion baht a year ago due to a decline in domestic consumption during mourning period for the former king.
Sales of spirits fell 11% to 26.3 billion baht due to the mourning period for the former king of Thailand while net profit fell 8.3% to 5.1 billion baht.
For the same reason, sales of beer fell 4.6% to 15 billion baht and net profit rose 159.8% to 1.3 billion baht.
Sales of food fell 1.0% to 1.6 billion baht mainly due to a decrease in restaurant sales revenue from the mourning period while net profit fell 85.3% to 34 million baht.
Sales of non-alcoholic beverages fell 1.3% to 3.9 billion baht mainly due to the expiry in August 2016 of a production and distribution agreement for an OEM sports drink.
But the sales volume of the company’s main products increased, narrowing the net loss of the segment by 61.4% to 239 million baht.
For the international business, sales revenue for 1Q17 decreased by 17.5%. Beer sales revenue dropped mainly due to a slowdown in Asean sales despite positive growth in Singapore and Cambodia. International spirits business also reported revenue decline as a result of the sterling fluctuation due to Brexit.
Shares of Thaibev closed 1 cent lower at 88 cents.
