FRASER and Neave (F&N) had a slight 0.2 per cent increase in full-year continuing net profit before one-offs and fair value adjustments on a modest improvement in sales.

The drinks supplier, which de-merged from its property business in August 2013, said net profit from continuing operations increased to S$143.9 million, or 10 Singapore cents per share, before fair value adjustments and extraordinary items.

Counting discontinued operations, adjustments and extraordinaries, net profit would have been down 51.7 per cent to S$262.9 million.

F&N is recommending a final dividend of three Singapore cents per share. F&N stock closed at S$2.94 on Thursday, down by 1.3 per cent or four cents, before the results were announced.

Looking ahead, F&N expects stronger economic growth in its key market of South-east Asia as well as some relief in raw material prices.

The company also cautioned that it may have to sell its stake in Myanmar Brewery after losing an arbitration battle to protect that interest.