D.B. raises share in beer market

Press, 26 July 1984, Page 27

D.B. raises share in beer market

NZPA Auckland Dominion Breweries, Ltd, has further increased its market share, the. comK managing director, n Fletcher, says in his annual review. Total sales of New Zea-land-produced beer declined by a marginal 0.2 per cent to 364.8 million litres in the year, with bulk beer falling from 44.6 per cent of the market to 43.8 per cent, he says. But sales of packaged

beer increased 1.3 per cent with high growth rates in the sale of canned and pint beers. Quart beer sales fell 7 per cent. Mr Fletcher says tthe company’s over-all performance in this market was satisfactory with its volume up 3.2 per cent and its market share rising from 43.3 to 44.8 per cent. Volume and market share also rose in the bulk and packaged area of the mar-

ket with its packaged beer market share rising from 49.5 to 50.7 per cent. Mr Fletcher says particular successes during the, year were a 340 ml DB draught can and growth/'of other major brands./No mention is made of the unsuccessful Double Red launch. During the year, the group reviewed its investment in taverns and liquor orientated hotels and as a result put a number up for sale. At the end of March, 14 outlets had been sold with “a number of other sales completed since balance date.” The group’s chain of 26 accommodation hotels had “a dramatic turnround from a loss in 1982-83 to a worthwhile profit for 1983-84.” Occupancy rates for the year were up by 23 per cent and “we are confident the groundwork carried out during the year will result in further profit improvements by the hotels group in 198485,” Mr Fletcher says. As reported, the company lifted profit 18.1 per cent to $12,202,000 in the March 31 year. Due to differing balance dates, only $56,000 was included as equity earnings from the 35 per cent stake in the Mount Cook group. Group sales were up 12 per cent at $320 million, with a "substantial portion” of the gain reflecting higher excise duties.