By Ian Neubauer

Lion Nathan has posted an interim operating net profit of $167.7 million after tax for the six months ended March 31 — a seven per cent increase compared to the corresponding period in 2006-7.

Net sales revenue rose 7.9 per cent to $1.12 billion in the period, with the brewer attributing growth to a shift to premium brands, as well as the inclusion of three months of J Boag & Son’s trading results following the acquisition of the niche brewer in January this year.

“We have continued to produce strong earnings and cash flow while increasing investment in our brands, our breweries and our people to achieve higher sustainable long term growth,” Lion Nathan CEO, Rob Murray, announced in a statement to the ASX.

New product innovation contributed strongly to growth, particularly Hahn Super Dry, Barefoot Radler and McKenna bourbon spirits and RTDs.

XXXX and Hahn Premium Light also made substantial contributions, though RTD sales were dogged by the recent 70 per cent tax hike imposed on the category as part of the Federal Government’s war on binge drinking.

Interim dividend increased 5.3 per cent over the period to 20 cents per share, payable to shareholders on June 24.

Lion Nathan were trading at $8.76 at 10:00am, representing a 61 cent or 7 per cent increase over the last seven days.


The Shout Team

The leading online news service for Australia's beer, wine, spirits and hospitality industries.

Leave a comment

Your email address will not be published. Required fields are marked *