The Lower Eastern Times Opening The Third Eye
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East African Breweries Limited (EABL) has proposed an interim dividend of Sh4 per share for the half-year ending December 31, 2025, up from Sh2.5 per share during the same period in 2024.
The increase follows a 38 percent jump in net profit, which rose to Sh11.2 billion.
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EABL Board Chairman Martin Oduor-Otieno credited the strong performance to a stable business environment in East Africa, lower inflation, falling interest rates, and currency stability across the region.
“Despite the gains, challenges persisted. Household disposable income remained constrained, and high input and operating costs continued to affect margins across the sector,” Oduor-Otieno noted.
Net sales climbed 11 percent to Sh75.5 billion, aided by the launch of new products, while total debt fell by Sh2.2 billion, helping reduce finance costs.
The profit growth comes amid a major deal in which Japanese brewer Asahi Group Holdings has agreed to acquire a 65 percent stake in EABL from Diageo for Sh296.6 billion, gaining control of EABL’s operations in Kenya, Uganda, and Tanzania.
Earlier this month, the High Court allowed regulatory approvals for the Diageo–Asahi transaction to continue, even as it temporarily halted the final stages of the deal. The court emphasized that statutory and regulatory processes should proceed without disruption due to the significance of the transaction.
The legal matter originated from an application by Bia Tosha Distributors Limited and has been referred to the Presiding Judge for reassignment, with the next mention scheduled for January 20 for further directions.
