Tokyo, July 27 - Japanese brewery Kirin Holdings said on Monday it is likely to report first-half profit much bigger than its earlier estimates, as a weaker yen against the Australian dollar has lifted the value of its loans to an Australian unit.
The company said it now expects to post a net profit of 14 billion yen ($147.7 million) for the six months ended in June, up 11 percent from its earlier forecast.
While currency gains on the loans made to its Australian unit National Foods accounted for much of the overshoot, a solid performance by the firm's domestic alcohol drinks business and Lion Nathan, Australia's No.2 beer maker, also contributed, it said.
It declined to give more details pending the announcement of its first-half results on Aug. 6.
Kirin, locked in a fierce battle with Asahi Breweries for top spot in Japan's beer market, is in merger talks with privately held rival Suntory Holdings that would create one of the world's largest beverage and food companies.
Smaller rival Sapporo Holdings said it is likely to report a 1.3 billion yen operating profit for the first half, in a sharp reversal from its previous forecast of a 2 billion yen operating loss, on better cost management amid weak sales. ($1=94.78 Yen)