EABL Profit Jumps 49% to Sh18.2 Billion. 5 Things to Watch as the Brewer Enters a New Financial Year.

East African Breweries Plc recorded a 49% increase in profit after tax to Sh18.2 billion for the year ended June 2026, supported by higher sales across its markets and a reduction in borrowing costs. Net revenue rose 13% to Sh146 billion, while earnings before interest and tax increased 27% to Sh32.1 billion. Profit grew faster than sales because the brewer combined volume growth with tighter cost control and lower finance expenses.

Regional markets widen the sources of growth
EABL recorded growth across its three main markets, reducing its reliance on Kenya, which still contributes the largest share of the business. Revenue from Kenya increased by 5%, while Uganda grew by 16%. Tanzania recorded the strongest performance, with revenue rising 44% as the market continued to recover.
Sales also improved across several product categories. Beer volumes rose 9%, while mainstream spirits expanded by 30%, supported by new flavours and products targeting changing consumer preferences. Premium beer and spirits grew by 9%.
The broad based growth helped EABL navigate a difficult consumer environment where Household budgets remained under pressure from food inflation and other living costs, leading some customers to shift towards cheaper products. However, demand for premium brands and flavoured alcoholic drinks continued to create opportunities at the higher end of the market.

Lower finance costs support profit growth
EABL’s profit growth was also supported by a reduction in borrowing. The brewer cut total debt by Sh5.8 billion during the year, helping net finance costs fall by 24.7% to Sh4.4 billion. Together with stronger sales and improved operating performance, the lower financing burden helped profit before tax rise 43.2% to Sh27.7 billion, much faster than the 13.3% increase in net revenue.
This improvement came despite a Sh1.2 billion foreign exchange loss, compared with a Sh313 million gain in the previous year. The reversal reflects EABL’s exposure to currency movements across its regional operations and through imported inputs.

Stronger cash flow supports supports a higher dividend
EABL generated Sh42 billion in cash from operations during the year, an increase of 18%, while its cash and cash equivalents rose from Sh12.7 billion to Sh18 billion. The stronger cash flow allowed the brewer to reduce debt while continuing to fund its operations and investment plans. It also supported a higher payout to shareholders, with the board recommending a final dividend of Sh8.70 per share. This brings the total dividend for the year to Sh12.70 per share, up 59% from the previous year.
EABL therefore enters the new financial year with a stronger balance sheet and greater financial flexibility. However, pressure on household incomes, illicit alcohol, election related uncertainty and global supply disruptions remain important risks.