Lion Brewery’s global success contributes to Sri Lanka’s foreign exchange gains

Lion Brewery (Ceylon) PLC, in its latest Annual Report, has reported achieving a significant 20% growth in its international business and a substantial 28% revenue growth in USD year-on-year. 

This achievement is particularly noteworthy given the challenging global economic conditions. The international business has not only been a significant driver of revenue for the Company but also a notable source of foreign exchange for Sri Lanka. This success was largely attributed to the restructuring of the international business strategy, focusing on key growth regions such as Africa, South Asia and the Middle East, while exiting less profitable regions.

The Brewery’s decision to streamline its market presence from 35 to 17 countries has allowed for concentrated investment and effort in markets with the highest growth potential. 

Reflecting this sentiment, Chairman Amal Cabraal stated in the report: “We consolidated resources and focused them on key growth markets, allowing us to invest significantly more in these selected markets.” 

In Africa, countries such as the Democratic Republic of Congo and Rwanda have been standout performers, benefiting from Lion Brewery’s targeted portfolio strategy and deep market insights. Further, Kenya’s rapid economic growth and expanding consumer base present immense opportunities. Similarly, in the Middle East, the Company has effectively expanded its distribution network, especially in the UAE, where the region’s rapidly growing expatriate population and Government investments in infrastructure and development, have created a favourable environment for the Company’s products. CEO Rajiv Meewakkala emphasised in the report: “Our international business continued its double-digit growth with strong performance in all key markets,” underscoring the importance of this sector in the company’s overall strategy.

By focusing on high-potential markets and optimising its international business operations, Lion Brewery has positioned itself for sustained growth and market leadership. As highlighted in the report, this strategic shift, coupled with an emphasis on innovation and market penetration, highlights the Company’s commitment to excellence and its role as a significant contributor to Sri Lanka’s economy.