Carlsberg has reported a decline in its third-quarter volumes, highlighting the impact of trying consumer conditions and unfavourable weather.
The Danish brewing giant experienced a 1.3% rise in global organic sales growth, yet noted a 0.2% drop in organic volume in the same period. The company was particularly affected in its premium beer sector, where volumes decreased by 0.5%. In contrast, there was positive movement in other areas, with alcohol-free brews increasing by 6% and soft drinks by 4%. Notably, Carlsberg’s international premium brands saw an impressive 11% rise in organic volume, with the flagship brand leading the surge.
Carlsberg’s CEO, Jacob Aarup-Andersen, described the quarter as “tough,” citing a combination of difficult consumer environments and adverse weather conditions. He stated, “It was a tough quarter, impacted by a challenging consumer environment and weather.” Despite these hurdles, the company recorded volume and revenue growth across most of its markets. However, declines in regions such as China, France, and the UK had a significant impact on the overall group performance.
Aarup-Andersen also expressed satisfaction with the progress in key strategic growth categories, such as alcohol-free beverages, Beyond Beer, and soft drinks. He emphasised the potential expansion of their partnership with PepsiCo, particularly with the anticipated closure of the Britvic acquisition in early 2025 and plans to extend their collaboration to additional markets by 2026.
The decline in Carlsberg’s beer volumes aligns with a broader trend in the brewing industry, as fellow manufacturer AB InBev also reported lower sales volumes in its recent quarterly update. This trend underscores the challenges faced by beer producers amid changing consumer preferences and external economic factors.
Carlsberg’s latest quarterly figures underscore the complex challenges facing the brewing industry today. While there are promising signs in new product categories, traditional beer volumes are under pressure from external factors.
