SABMiller hit by Colombia booze ban

SABMiller today announced that lager volumes in the country for the first quarter had dived by 6% after alcohol was banned in Colombia.

Colombia imposed a ban on alcohol in several major cities during the tournament after violence broke out following the first game, a 3-0 win over Greece.

Laura Chesters24 July 2014

The World Cup is traditionally an occasion for football fans to get on the booze, but in Colombia, which got to the quarter-finals in Brazil, an alcohol ban knocked the fizz out of brewer SABMiller’s first-quarter update today.

The South American nation imposed a ban on alcohol in several major cities during the tournament after violence broke out following the first game, a 3-0 win over Greece.

With booze also outlawed during Colombia’s presidential elections earlier this year, SABMiller today announced that lager volumes in the country for the first quarter had dived by 6%.

Elsewhere, however, the tournament was a boon to the group’s sales, with net revenues in the UK up 23%, driven by the continued growth of Peroni Nastro Azzurro which it has been heavily marketing.

Other bright spots for the Miller and Grolsch brewer included an improved outlook in the Czech Republic and Poland while its African business remained strong with total volume up by 5%.

However, market conditions in Australia, the US and South Africa remained tough.

Overall revenues rose 6% and total beverage volumes grew by 3% in the period to July.

The shares today edged up by 0.4% to 3380p.