10.07.2020, 00:44

Drunk driving laws, coronavirus leave brewer Sabeco groggy


Drunk driving laws, coronavirus leave brewer Sabeco groggy

It represents a revenue drop of 37 percent from last year for Vietnam’s largest brewer and its lowest sales figure since 2012.

The brewer of Saigon Beer also reduced its post-tax profit target by 39 percent to VND3.2 trillion ($138 million), lowest in six years. 

Sabeco’s board said in a statement that tightened regulations on drunk driving are a major challenge to the alcoholic drinks market.

The Covid-19 pandemic, which caused the closure of bars and restaurants in March and April, also had a negative impact on the company’s business performance, it said.

Sabeco, a subsidiary of Thai beverage giant ThaiBev, saw profits hitting a seven-year low of VND720 billion ($31 million) in the first quarter of this year.

In the first five months the country’s beer production fell 24.5 percent year-on-year to 1.4 billion liters, according to the General Statistics Office.