Carlsberg reports a drop in third-quarter volumes amid tough market conditions.
- The brewer’s organic sales growth increased by 1.3%, but volumes decreased by 0.2%.
- Premium beer volumes saw a decline, while alcohol-free and soft drink sales grew.
- International premium brands like Carlsberg recorded an 11% increase in volumes.
- Challenges in key markets like China, France, and the UK affected overall performance.
In the face of a challenging consumer environment and adverse weather conditions, Carlsberg’s third-quarter performance was mixed. The company’s organic sales demonstrated a modest increase of 1.3%, despite a slight dip in overall organic volumes of 0.2%.
A notable area of struggle was Carlsberg’s premium beer category, where organic volumes fell by 0.5%. This decline was somewhat offset by growth in non-alcoholic and soft drink segments, which rose by 6% and 4% respectively. This suggests a consumer shift towards healthier beverage options.
Internationally, Carlsberg’s premium brands showed resilience, achieving an 11% rise in organic volume. The growth in these brands underscores their robust global appeal and market strength, even as the company navigates challenging conditions.
Chief Executive Jacob Aarup-Andersen acknowledged the tough quarter, attributing the challenges to the consumer environment and weather. He highlighted ongoing strategic efforts in expanding key categories and partnerships. Particularly, the anticipated closure of the Britvic acquisition in early 2025, and expanded collaboration with PepsiCo, indicate a focus on long-term growth.
The performance in major markets like China, France, and the UK played a significant role in the overall results, with lower volumes in these countries impacting the group’s performance. However, there were positive developments in most other markets, reflecting Carlsberg’s diverse geographical footprint.
Overall, Carlsberg’s strategic focus remains on long-term growth despite current challenges.
