Carlsberg eyes earnings growth in 2021 after lockdown-hit 2020
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COPENHAGEN - Danish brewer Carlsberg on Friday reported fourth-quarter sales slightly below expectations and said it expects operating profit to grow between 3% to 10% in 2021.
"While the pandemic is not yet behind us and we don't know how long it will remain a challenge in 2021, we believe that Carlsberg will emerge even stronger from the crisis," Chief Executive Cees 't Hart said in a statement.
The world's third-biggest brewer said sales in the fourth quarter came in at 12.5 billion Danish crowns ($2.01 billion), just below the 13.1 billion estimated by analysts in a Refinitiv poll.
Overall, beer sales suffered during the pandemic and Carlsberg saw its annual organic revenue decline by 8.4% to its lowest in five years, while volumes shed 3.8%.
The brewer's on-trade business, which covers sales in bars, restaurants and nightclubs, dropped by more than 20% last year due to lockdown restrictions. Off-trade sales in stores grew by mid-single digit percentages.
Carlsberg will propose a dividend of 22 crowns per share, a 5% increase, and will launch a 750 million share buy-back programme running until April 23, it said.
($1 = 6.2163 Danish crowns)
(Reporting by Nikolaj Skydsgaard; Editing by Jacqueline Wong and Kim Coghill)
