Asahi Group Holdings, Ltd.
TSE-2502
Company Overview
Asahi Group Holdings, Ltd., together with its subsidiaries, manufactures and sells alcoholic beverages, soft drinks, and food products in Japan and internationally. It operates through Alcohol Beverages, Soft Drinks, Food, Overseas, and Others segments. The company offers alcoholic beverage products, including imported beers, non-alcohol beer taste beverages, wines, shochu and whiskey products, ready-to-drink beverages, happoshu products, and spirits. It also provides soft drink beverages, such as ciders, carbonated soda water beverages, coffee, tea, lactic acid drinks, mineral waters, sports drinks, and fruit juices. In addition, the company offers food products comprising confectioneries, health foods, supplements, yeast extracts, powdered milk products for infants and baby foods, skin care, and others; and freeze-dried foods, including miso and other soups, porridge, risotto, stews, bowls, pastas, and curries. It provides its products primarily under the Asahi Super Dry, Clear Asahi, Black Nikka, Asahi Dry Zero, Mitsuya Cider, Wilkinson, Wonda, Asahi Juroku-cha, Asahi Oishii Mizu, Calpis, Mintia, Dear-Natura, Peroni Nastro Azzurro, Pilsner Urquell, Cool Ridge, Schweppes, Asahi Gokujo Kire Aji, Wilkinson Highball, Asahi THE RICH, Prime Rich, Zeitaku Shibori, Style Free, Zeitaku Zero, Asahi Off, HATARAKU ATAMANI, WAKODO GLOBAL, Juhinmoku no Ippai, Carlton, Great Northern, Pirate Life, Lech Free, Kozel, Ksiazece, Captain Jack, Zubr, Tyskie, and Ippon Manzoku Bar brands. Further, it is involved in the operation of restaurants; and offers fertilizers, and microbiological and biochemical products. The company was formerly known as Asahi Breweries, Ltd. and changed its name to Asahi Group Holdings, Ltd. in July 2011. Asahi Group Holdings, Ltd. was founded in 1889 and is headquartered in Tokyo, Japan.
Name
Asahi Group Holdings, Ltd.
CEO
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Website
www.asahigroup-holdings.com/en/
Sector
Beverages
Year Founded
1889
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Bulls Say
Eastern European countries have among the highest per capita beer consumption in the world and Asahi could leverage its dominant share position to implement premiumization and price hikes.
There is room for Asahi to cross-sell its global premium beer brands by leveraging existing distribution channels in Asia, Europe, and Australia.
As wage growth continues to accelerate in Japan, Asahi is well-positioned to maneuver its product mix and price hikes to support its margins over the long term.
Bears Say
Shrinking beer volume in Japan and Australia would weigh on top-line growth for Asahi in the long run.
Persistent currency headwinds could weigh on domestic margins if price hikes could not keep up with the pace of rising commodity prices.
The inflation-linked excise tax in Australia could dampen beer demand in the long run as retail prices get prohibitively high for consumers.