RWANDA – Brasseries et Limonaderies du Rwanda (Bralirwa), the largest brewer and soft beverage company in Rwanda, has posted a double-digit growth In Full Year 2022 revenue buoyed by volume growth and pricing.
The unit of Dutch alcohol group Heineken registered a 27.6 percent increase in revenue to Rwf157.6 billion (US$0.14bn) in 2022, up from Rwf123 billion in 2021.
Its net profit and total comprehensive income increased by 28.7% to Rwf 22.5 billion (US$20m) from Rwf 17.5 billion in 2021. Volume growth and higher input costs drove an 18.6% increase in the cost of sales to Rwf 85.9 billion in 2022.
Etienne Saada, Managing Director of Bralirwa, attributed the topline results to improved price and mix, revenue management combined with a focus on cost savings initiatives as well as operational efficiencies that also significantly impacted positively the operating results.
However, the operating rest increased to Rwf 42.1 billion, a 35.1% jump from Rwf 31.2 billion in 2021, driven by the topline performance, partially offset by selling and distribution costs Increase, mainly marketing costs due to investments done after the full business re-opening and higher administrative costs.
Bralirwa is a local company producing and selling beers and soft drinks with a brand alcoholic portfolio that includes Amstel, Legend, Primus, Mutzig, and Turbo King.
In portfolio performance, beer volume increased by 5.9 percent in 2022 compared with the previous year, driven by higher Amstel, Heineken, and Turbo King growth.
Meanwhile, soft drinks volume increased by 31.6 percent during the period under review, driven by the full re-opening of the market and events, in addition to the revamping of the non-alcoholic beverages route-to-consumer.
Soft drink brands under an agreement with Coca-Cola company include Coca-Cola, Fanta, Sprite, Krest, Tonic, Stoney, Pineapple, and its brands such as Vital’O and Cheetah, energy drink.
The expansion of the brewery in Gisenyi, Rubavu District has led to an increase in capital expenditure to Rwf29.4 billion from Rwf10.4 billion in 2021.
For the 2023 outlook, the company said the ongoing uncertainties and the resulting volatility in the global economy, especially the input costs are expected to continue to Impact African economies in the coming year.
With that in mind, Bralirwa plans to further grow the top line margin and profit growth through the continued growth of volume and value, cost management, and further debt reduction to continuously outperform in the Rwandan market and the broader African Region.
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