Danish brewer Carlsberg has raised its outlook for the year based on higher-than-expected operating profits to date.
While cider producers have blamed inclement weather for falling profits this summer, higher sales in Russia and other Baltic states were fuelled by warm weather and a change in consumption patterns away from wine and spirits.
The world's fifth largest brewer has reported first-half earnings before interest and taxes of DKK2.26 billion (€303 million), up 31 per cent from last year, sending its shares up by almost five per cent.
Sales of the beer rose 12 per cent to DKK21.5 billion (€2.88 billion), topping the poll average of DKK21.18 billion (€2.89), lifted by strong sales in Baltic Beverages Holding (BBH), Carlsberg's Eastern European joint venture with Britain's Scottish & Newcastle Plc.
Carlsberg raised its expectations for the year, forecasting sales growth of at least 10 per cent from the previous 7 per cent and operating profit of DKK5 billion (€67 million) from the previous outlook of DKK4.7 billion (€63 million).
Total beer sales rose 17 per cent to 39.8 million hectolitres for the first half of the year. The company's Carlsberg and Tuborg beer brands posted volume increases of 6 per cent and 24 per cent, respectively, the latter mainly as a result of rising sales in Russia and Ukraine.
The brewer said it also gained market share in several key markets in Western Europe, including Britain and the Nordic countries. In Asia, beer sales rose 29 per cent by volume, with China and Vietnam leading the way.
