Blog: S&N - reaping the rewards of its balancing act
Olly Wehring | 20 February 2007
UK brewer Scottish & Newcastle thinks it has got the balance of its business just about right.
S&N, which today (20 February) posted a 7% rise in full-year revenue and a 10.1% hike in operating profit, gave a breakdown of its figures showing just how important both sides of that balance are to each other.
On the one hand, there is UK and Western Europe - the dullest beer markets in the world, in one sense. The two markets delivered slow profit growth of 1.5% and 1.1% respectively for S&N in 2006. Total operating profit from the two came in at GBP384m (US$750.5m) for the period.
Over at Baltic Beverages Holding, S&N’s joint venture with Carlsberg, operating profit was a bit more colourful - up a massive 42.9% to GBP160m for the year.
By the group’s own admission, the year was a game of two halves – “The dullards of the UK and International (Western Europe) are providing all the cash,” said John Dunsmore, managing director of S&N UK.
Dunsmore was quick to wave the figures under critics who believe the brewer is over-exposed to mature markets. He said: “It’s these mature businesses which are feeding our other operations with cash, allowing us to grow into new, developing markets.”
With the announcement, also today, that S&N has followed its operations in China and India with a new joint venture in Vietnam, could the company become more of a global force to be reckoned with in the future?
For those people looking to the Red Planet as shining utopia away from all things earth, look away now....
Bacardi's 42 Below vodka brand has found a novel way to use the lemons left over from cocktail-making: Turn them into liquid soap....
Philadelphia’s soda tax came into force on Sunday, and is reportedly causing a stir in the city's check-out aisles....
Earlier this month, I was most-kindly invited by Accolade Wines to visit the Royal Albert Hall in London. The reason? They wanted to see a tennis great in action, and then give them a guided tour thro...
- Pernod Ricard's Q3 2017 trading update - Preview
- Why Scotch must drop the 'malts good, blends bad'
- How soft drinks brands manage to offend consumers
- Heineken Q1 2017 by region - results data
- Remy Cointreau Fiscal-2017 sales - results data
- Diageo to cut 105 jobs in Scotland, 50 in Italy
- Scotch sales set to soar, despite recent struggles
- William Grant snaps up Tuthilltown Spirits in US
- TWE's Beringer Main & Vine Dry Rosé - NPD
- Edrington shifts innovation to US in shake-up
- Global Champagne and sparkling wine insights - market forecasts, product innovation and consumer trends
- Global Scotch insights - market forecasts, product innovation and consumer trends
- Battle of the Generations - The fight for iGen, Millennial, Gen X and Baby Boomer consumers
- Myanmar - ISA Country Report
- Global Wine Market 2016-2020