SABMiller Plc, the world's second-biggest brewer, announced on July 30 that first-quarter earnings showed a "satisfactory increase" driven by strength in Europe and South African markets and favourable currency moves. The maker of Miller Lite, Pilsner Urquell and Castle beers said profits at its recently acquired U.S. brewer, Miller, were lower than the year before, but in line with its expectations, Reuters reported in a statement.

SABMiller disappointed investors in May by saying it would take three years to turn around Miller, which it bought for $5.6 billion last July.
Miller has been losing sales and market share for years as it battles the world's biggest brewer, Anheuser-Busch, which makes Budweiser and controls half the U.S. beer market.

At 1020 GMT, SABMiller shares were 0.9 % higher at 431 pence, little changed from before the trading update. Formerly South African Breweries, the firm said South African beer volumes were up 3.8 % on the year, adjusting for the timing of Easter, and earnings in local currency were ahead of expectations thanks to a stronger South African rand. European volumes were also up, helped by good summer weather, while economic weakness in Honduras and El Salvador were continuing to hurt Central American operations.

01 August, 2003