Brewer hopes Cup will aid sales revival

DB Breweries is hoping its association with next year's Rugby World Cup through its Heineken brand will build on the brewer's recovery that is already underway.

After a tough 2009, DB has increased sales by 4 per cent in the six months to March 31 and profit by 52 per cent.

"We're recovering, we're not back to where we were two years ago but we've turned the corner and got some momentum in the business," said managing director Brian Blake.

"We're very encouraged but the market is lumpy and very soft. We think it will be towards the end of the year or early next year before the market picks up."

Heineken is a World Cup partner sponsor and DB was gearing up to brew more of the beer here next year to meet expected demand.

"I'm not sure it's a game changer - it's more about reinforcing the brand. It's very much about being cream on the cake," Blake said.

The brewer, which claims 38 per cent of the New Zealand market, is owned by Singapore-based Asia Pacific Breweries. During the last six months the New Zealand operation reported a lift in profit from $16.8 million to $25.3 million.

The result was due in part to a stronger New Zealand dollar, cost cutting and the successful launch of Tui Blond and Monteith's Crushed Apple Cider.

DB's increased sales went against a trend revealed by Statistics New Zealand figures last week which showed liquor retailing, bars and clubs were among five out of seven food and drink-related industries that recorded volumes-led falls in sales value during the March quarter.