Canadian brewing group, Molson Inc., recorded earnings of C$33.6m ($21.5m) from continuing operations in the quarter to the end of March, up from C$25.7m in the corresponding quarter last year. Sales grew by 10% to C$455.9m. The company took the opportunity as it announced the results to dismiss speculation that it might be the subject of a takeover bid by Heineken.

The company, which acquired Brazilian brewer, Kaiser, in March for $765m, making it the 13th largest brewing concern in the world, was pleased with the results but believes there is significant potential for further growth. "Our results are fine, but there is a lot more to achieve," said Molson president and CEO, Daniel O'Neill.

O'Neill also said the company would soon be undertaking a review of its Canadian and Brazilian operations with the aim of finding increased cost savings and improving efficiency. "The Kaiser transaction is clearly a transformational event for Molson," O' Neill said, adding it would double the company's volume.

The Kaiser acquisition increased Molson's share in the Brazilian beer market from 3.1% to 17.8%. Molson bought Kaiser in partnership with Heineken which took a 20% stake. However, O'Neill again dismissed the much circulated rumour that Heineken was preparing to buy Molson. "There is not a bloody chance that this is going to happen," he said.

Volumes in the fourth quarter were 12.3% up on last year at 3.3m hls, with volumes in the Canadian market 1.5% higher. Market share in Canada rose by 0.1% to 45.3% while volumes in the US increased by 1.3% in the fourth quarter.