AUSTRALIA: SABMiller finds Foster's a drag - analyst
Foster's Group will soon be up against Coca-Cola Amatil in its home market
In a note released today (23 August), Nomura changed its advice from 'Neutral' to 'Reduce', blaming expected weaker margins by the end of the year. The analysts also said yesterday's announcement by Coca-Cola Amatil to enter the beer market will put further pressure on the underperforming Foster's unit.
SABMiller bought the brewer last year but has revealed that lager volumes in Q1 fell 13% at Carlton United Breweries, the Australian drinks arms of Foster's.
Nomura said its cautious view was confirmed by Heineken's first-half results yesterday, which reported higher input costs and foreign exchange fluctuations.
“In addition, price/mix appears to have been weak in Central and Eastern Europe, exacerbated by growth in discount channels,” the note said.
The long-term outlook for SABMiller remains attractive, Nomura said, adding that Anheuser-Busch Inbev's recent acquisition of Grupo Modelo makes a further bid for SABMiller by the rival brewer unlikely.
Environmental sustainability remains one of the most active areas for the global drinks industry. This year, just-drinks returns to the subject with four separate management briefings, one per sector....
In the second part of this management briefing, which looks at environmental sustainability in the brewing sector, Ben Cooper looks at the role played by sourcing ingredients locally....
The fourth and final part of this month's management briefing, which looks at the efforts of the brewing world in the environmental sustainability arena, considers the work of Heineken, Molson Coors a...
- How to turn a domestic spirit into a global brand
- Whatever happened to binge Britain? - comment
- The US beer market - A level playing field for all
- This week in spirits & wine
- Mahou San Miguel - just the Facts
- Captain Morgan distillation trial queried by USVI
- Sazerac sues Brown-Forman over Tennessee Fire
- Diageo sells off United Spirits' Bouvet Ladubay
- Craft, imports near 50% share in US on-trade
- Beam Suntory's Laphroaig Brodir - NPD
- Global Beer Trends 2015 : Global Beer Trends and Long-term Forecasts
- Global sparkling wine insights - market forecasts, product innovation and consumer trends research
- Future growth opportunities for global spirits
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends research
- Global Wine Market to 2019 - Market Size, Development, and Forecasts