JAPAN: Kirin suffers H1 beer sales drop
Japanese brewer Kirin has blamed rising costs and a sluggish market for a drop in domestic beer sales and profits in its first half.
Beer sales by volume fell 7.5% for the six months to the end of June, Kirin announced today (4 August). The drop sent volumes in the group's alcoholic beverages division down by 3.3% on the corresponding period a year earlier, with sales in value terms dipping by 0.5% to JPY545.3bn (US$5bn).
Japan's beer market continued to suffer as a result of an ageing population and a consumer shift away from beer, the group said in an update to its medium-term business plan, also released today.
Rising energy and raw materials costs, as well as a slowing Japanese economy, also impacted performance in the first half, it added.
"In this environment, rather than pursuing an absolute increase in scale, Kirin aims to develop its strategy of being number one in each category to become the leader in the combined market for beer, happoshu and new genre," the firm said.
Beer sales abroad were boosted by its 46% stake in Australian brewer and wine group Lion Nathan, which said on 24 July that revenue rose 7% for the nine months ended 30 June, with beer volumes up 3.3% to 686m litres.
Kirin's total group sales for the first half rose 25% to JPY1,048bn, with operating income up 11% to JPY47.5bn.
Cadbury officially put its Australian soft drinks business up for sale this week following a strategic review of the business....
The Australian drinks industry has certainly experienced a shake-up in the last week following Coca-Cola Amatil's rebuffal of Lion Nathan's A$7.7bn (US$4.75bn) takeover bid. The offer, which Lion Nath...
January may be the time to look forward to the coming year but few in the drinks industry will be eyeing the coming year with relish. However, given the pessimistic tone of virtually every market and ...
San Miguel Brewery has reported an 11% rise in revenue and a 25% jump in net income for 2008, allaying fears of a decline in the global beer market....
San Miguel Corp is selling its domestic beer brands and brewing operations to its San Miguel Brewery subsidiary for around PHP39bn (US$839m), as the Philippines group looks to expand in other sectors....
Kirin Holdings Company, Japan's second largest brewer, has lowered its profit forecast for 2008 due to unfavourable currency rates and a weakening economy....
Anheuser-Busch InBev has maintained that it remains committed to the Chinese beer market, despite the sale of part of its stake in Tsingtao Brewery in the country....
The top ten stories published on just-drinks this week:...
- Remy, dead cats and the power of China's new year
- Will Lucas Bols' IPO Bring Much-Needed Stability?
- just the Facts - Top 20 US Beers by Value, Volume
- Focus - Remy Cointreau's YTD Performance by Brand
- Price drops would damage our DNA - Remy Cointreau
- Maxxium UK head to depart for Edrington role
- Diageo inks UK distribution deals
- Diageo's United Spirits stays in red in YTD
- Remy eases declines as China hints at recovery
- Anheuser-Busch to cut 60 bottling jobs
- Global RTD/RTS insights - market forecasts, product innovation and consumer trends research
- Global vodka insights - market forecasts, product innovation and consumer trends research
- Edrington Group in Spirits (World)
- Global Consumer Trends and Key Consumer Targets in Alcoholic Beverages
- Diageo plc (DGE) - Financial and Strategic SWOT Analysis Review