Carlsberg posted its Q1 results today

Carlsberg posted its Q1 results today

Today (7 May), Carlsberg released its first-quarter results. Here, just-drinks takes a look at the company's performance by region.

Eastern Europe

In a call with analysts today, Carlsberg CEO Jørgen Buhl Rasmussen bemoaned the closure of Russia's beer kiosks, saying the Government's decision to stop these outlets selling alcohol had impacted the company more than the recently-introduced ban on alcohol advertising in the country. These kiosk closures were felt throughout Russia's beer market, helping to take sales down by mid-single digits, Carlsberg said. Despite these headwinds, Carlsberg increased its market share in Russia from 37.6% to 38.4%, driven by brands such as Baltika Cooler, Zatecky Gus, Zhigulevskoe and HolstenBaltika 7 was a victim of the kiosk closures, Carlsberg said. The brewer said a RUB3 (US$1) excise increase in Russia was the main reason behind a 7% quarterly drop in revenue per hectolitre in the country. Meanwhile, the Ukrainian beer market declined “slightly”, Carlsberg said. Both countries are vital to Carlsberg, making up about 40% of its operating profits. Collectively, Eastern Europe's beer volumes grew by 6% organically, while net sales in the region fell by 2%.

Western Europe

Beer markets in the region declined by an estimated 2%, Carlsberg said. However, the brewer said it achieved market share improvements, with particularly good performance in all four Nordic markets, the UK, Poland, Portugal and Greece. Excluding a destocking impact in France, beer volumes were flat for the quarter - including the impact, volumes were down organically by 3%. Beer volumes grew in Denmark, Finland and Sweden while volumes declined in the Baltic and Balkan markets. Other beverages grew organically by 5%. Net sales dropped organically in the region by 1%.


Beer volumes grew organically by 14%. Including acquisitions, beer volumes grew by 18%. Chinese volumes grew 9% organically, or 18% including Carlsberg's increased ownership in the Chongqing Jianiang Brewery JV. Regional volumes of the Tuborg brand grew by about 80%. Carlsberg said Tuborg has become the largest international beer brand in India and was the fastest-growing international premium brand in China in Q1. Organic net sales in the region grew 19%, while reported growth was 13%.