While most people are reeling from the effects of high inflation, the consumptive spending it is promoting saw sales of liquor company African Distillers soar by 271 percent surpassing those for the entire year which ended in June.
According to its results for the half year to December, Afdis’s sales increased from $1.9 billion in the first half of 2001 to $7.2 billion. Sales for the entire year ending June 2002 were $4 billion.
Operating profit increased from $559.8 million to $3.2 billion with net profit at $2.1 billion, up from$352.1 million, an increase of 497 percent.
The company says the strong performance did not only benefit it but the economy as a whole. It says direct contributions by way of duties and taxes as well as forward and backward linkages are estimated to have amounted to $14.2 billion during the six months.
The company says though the economy is predicted to decline by 10 percent this year, it expects the consumptive spending to continue.
It should have further growth ahead of inflation if it is able to continue to source raw materials.
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