Brewing giant SABMiller reported a 13% rise in first-quarter underlying beer volumes on Tuesday, but said revenue growth was partly offset by higher input costs and increased investment.
”The group has made a strong start to the year,” the world’s second-biggest brewer said in a trading update for April to June to coincide with its annual shareholder meeting.
”Revenue growth was partially offset by higher input costs and increased investment across the business,” the maker of Miller Lite, Peroni and Castle beers added.
Brewers across the world are facing higher prices for ingredients such as barley, as well as higher aluminium costs for tin cans.
The 13% rise in underlying sales was a pick up from the 10% increase reported in the year ended in March.
Growth was driven by a 23% rise in SABMiller’s Africa and Asia business.
European volumes were also strong, up 17%, although a robust performance in April and May was dampened in June by wet weather.
South American volumes were up 12%, while South African volumes rose 4% and Miller’s United States domestic sales to retailers were up 4,6%, including acquisitions.
At 10.55am GMT, SABMiller shares were up 3,4% at 1 281 pence, valuing the business at about £19-billion. – Reuters