It is official, Mark Ocitti is leaving Uganda Breweries Limited (UBL) after his 3-year term elapses at the end of this month.
Ocitti, is the second Ugandan to lead UBL, after Baker Magunda, since it was taken over by global drinks giant, Diageo and heads to Serengeti Breweries Limited, another Diageo subsidiary.
With over 20 years of business leadership in oil & gas, telecoms and beverages sectors, the Makerere University and Herriot-Watt alumnus joined UBL in August 2016 from Nairobi where he was Managing Director of the East African Breweries Limited (International Division) to replace Nyimpini Mabunda, who was returning back-home to South Africa.
But what has been his impact on the business?
In a statement released to media houses, said: “I am happy to say that I have played my part. And a positive part in the last three years. My three years have been exciting, challenging and fulfilling.”
Although he neither delved into details of his challenges and fulfilments, nor shared his financial performance, a research done by CEO East Africa Magazine, shows Ocitti inherited a gross sales revenue book of UGX377.8 billion and a profit of UGX34.6 billion for the year, ended March 2016.
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By end of March 2017, sales revenue grew by 6.5% to UGX402.5bn and in the year ending March 2018, sales revenue jumped by a further 6% to UGX426.7bn, marketing a Compound Annual Growth Rate (CAGR) across the 3 years of 4%.
Perhaps worth noting, is that during his time Ocitti narrowed down the gap between UBL and Nile Breweries, their arch-rivals from UGX189bn in 2016 to UGX126.4 billion. UBL’s gross sales for 2016 was UGX377.8bn compared to NBL’s 567.7bn while in 2017 UBL sold UGX402.5bn worth of drinks compared to NBL’s 528.9bn.
Even though across his 3 years in office, sales revenue grew, increased cost of doing business underpinned by higher taxation of the alcohol sector ate into the business’ profits.
In the year ending March 2017 profits reduced from UGX34.6 billion to UGX12.4 billion. As at March 2018, profits picked up to UGX18.1 billion.
According to a 2018 results presentation, this growth was underpinned by great performance by Bell Lager, Uganda Waragi and Guinness brands.
During Ocitti’s time, UBL also invested in UGX20bn waste treatment plant and a UGX13bn glass bottling line as well as UGX2.5bn in various social projects.
Ocitti will be replaced by Alvin Mbugua, the former UBL Finance Director.