Carlsberg has upgraded its full-year earnings forecast following stronger-than-expected progress from its integration of Britvic. The world's fourth-largest brewing group reported its financial figures for the first half of the year, pointing to robust growth in non-alcoholic beverages and soft drinks to offset ongoing headwinds in the Chinese market.
The Danish company now anticipates organic operating profit growth of 4% to 6% for the full year, narrowing its previous guidance range of 2% to 6%. According to management, approximately 50% of the total estimated GBP 110 million in cost synergies stemming from the acquisition of the British soft drinks producer (inside.beer, 08.07.2024) are projected to materialize throughout 2026, surpassing earlier estimates of 30% to 40%. First-half organic operating profit rose 5.9%, while total operating profit reached DKK 7.45 billion.
Alongside the soft drinks integration, the company recorded organic volume growth of 9% in this segment, while non-alcoholic beer volumes advanced by 11%. Chief Executive Jacob Aarup-Andersen noted that portfolio diversification into these categories continues to mitigate broader consumption slowdowns.
However, performance varied geographically. While European operations remained stable, operations in China experienced a downturn, with second-quarter volumes dropping 6% due to adverse weather conditions and subdued consumer demand. Despite these regional challenges, accelerated cost efficiencies and expanding partnerships—including extended distribution agreements for PepsiCo across international markets—helped bolster overall financial stability.
