Singapore's APB expects steady 2007

Asia Pacific Breweries (APB) is forecasting 2007 results comparable results to the previous year, as losses from greenfield breweries are balanced by “strong organic profit growth.”

The company recently announced a dividend of $0.14 cents per share, to be paid on 13 June 2007. Earnings per share rose from 30.3 cents to 30.7 cents.

This year, APB will have four greenfield breweries coming on stream in China (Foshan), Mongolia (Ulaan Baatar), Laos (Vientiane) and India (Hyderabad).

The company reported mixed first quarter results. In IndoChina, the region posted a robust 42-percent increase due in part to the newly-acquired Foster's Vietnam assets in Danang and Tien Giang.

Malaysia registered a four-percent increase in volume and improved margins.

Meanwhile, Singapore grew volume 13 percent on the back of strong export and contract-brew sales.

In Thailand, volume fell by 12 percent due to increased competition, economic uncertainties and regulations restricting the consumption and advertising of alcoholic products.

China experienced a 14-percent growth in sales volume; in the context of operational costs in the country, overall losses narrowed by 37 percent to $2.5 million.