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It terms of business strategy, operations are ‘broadly unchanged’. The company is still achieving most of its growth in South America, Asia and Africa, while sluggish growth in Europe is impacting on its bottom line. Latin America is the largest source of profit for the brewer, and it revealed a 10% rise in organic profit. SAB Miller has cut costs in its African division by sourcing more local ingredients for brewing, and this contributed to a 16% increase in earnings for the African operation.
Profits fell by 8% in Europe, and particularly poor sales in Poland and the Czech Republic dragged the region lower. However, competitor Anheuser-Busch InBev announced a 38% decline in profits in its European division, so comparatively speaking SAB Miller is relatively well positioned.