Following a tough trading year characterized by lockdowns and a ban on alcohol sales, Kgalagadi Breweries Limited (KBL) holding company, Sechaba Holdings Limited (SBHL) has advised shareholders to expect a drop in profits for the year ended 31 December 2020.
In a notice to shareholders this week, the company warned that the profit before tax for 2020 will be approximately 15 percent or P29.1 million lower than the P197 million reported for the year ended 31 December 2019.
The new Botswana Stock Exchange Listing requirements state that a listed company must publish a cautionary announcement as soon as they are satisfied that a reasonable degree of certainty exists that the expected profit or loss (before tax) for the period to be reported upon next will differ by at least 10 percent from the most recent financial results for the previous corresponding period.
SBHL holds 49.9 percent shareholding in KBL and another 49.9 percent shareholding in Coca-Cola Beverages Botswana (CCBB).
With the financial results expected to be published on or before the 31st of March, 2021, the company has cautioned shareholders to in the meantime exercise caution when dealing with the company’s shares.