Carlsberg AS (CABGY.PK) Wednesday reported a decline in third-quarter profit, as the prior-year comparisons were benefited by special one-off items. Total revenues and volumes were up from last year. The Danish brewer said its quarterly performance was in line with its expectations and maintained its outlook for full-year 2012.
Pro rata volumes of beer increased 2 percent to 34.1 million hectoliters and volume of other beverages improved 5 percent to 5.1 million hectoliters. Organic beer volume was flat with last year.
The company noted that overall market growth remained mixed across regions. In Western Europe, total market, excluding Poland, declined by an estimated 2 to 3 percent impacted by bad weather in the second quarter and July.
In Western Europe, organic beer volume grew 1 percent, while Eastern European organic beer volumes declined 7 percent. The Russian beer market grew slightly and showed an increase of 2 percent in the third quarter. Meanwhile, in Asia, all markets continued to grow and organic volume growth was 10 percent.
CEO Jørgen Buhl Rasmussen said, "While we will remain focused on driving our commercial agenda, becoming more efficient remains a top priority for the Group and we still see significant long-term opportunities in this area, with particular focus on Western Europe."
Carlsberg stated that it continued to deliver solid market share performance in Western Europe and Asia, with contributions from its international premium brands: Carlsberg, Tuborg, Kronenbourg 1664, Grimbergen, and Somersby.
In the third quarter, the company's consolidated profit attributable to shareholders declined to 2.14 billion Danish kroner from 3.01 billion kroner reported last year. On a per share basis, earnings were 14.0 kroner, lower than 19.7 kroner per share in the year-ago period.
Adjusted profit attributable to shareholders in the quarter was 2.15 billion kroner. In the prior-year quarter, adjusted profit was 2.01 kroner. Adjusted earnings were 14.1 kroner in the recent quarter, while it was 13.2 kroner last year.
Operating profit, excluding special items, was 3.6 billion kroner in the recent quarter, while it was 3.28 billion kroner a year ago. Operating margin improved 30 basis points to 19.1 percent.
Net revenues grew 8 percent to 18.81 billion kroner. Organic revenue growth was 4 percent.
For the full year 2012, the company continues to expect operating profit before special items to be flat with last year and adjusted net profit to grow slightly.
In Copenhagen, Carlsberg shares closed Tuesday's regular trading at 518 kroner, up 0.39 percent.
