Carlsberg A/S reported better-than-expected half-year profit after consumers shelled out more money for premium beers even after unprecedented price increases.
The Danish brewer said operating income rose to 6.3 billion krone ($918 million) in the first half, topping analyst consensus estimates by almost 3%. Revenue per hectoliter, a key metric of pricing power, climbed 10% with growth in all regions, the company said in a statement Wednesday.
The report came a day after the maker of Tuborg and its namesake beer raised its annual profit outlook and disclosed volumes, profit growth and sales growth for the first half of its fiscal year.
Faced with soaring input costs for grains, aluminum, freight and power, brewers have been raising prices at the fastest rate in decades to protect margins.
But Carlsberg’s report indicates resilient demand among its drinkers, who have been willing to swallow price hikes for its high-end beers. That contrasts with Carlsberg’s bigger rival Heineken NV, which cut its profit forecast after customers switched to cheaper beer in some markets.
Jacob Aarup-Andersen, a turnaround expert who revamped facility management company ISS A/S, will take over the running of Carlsberg next month, replacing Cees ‘t Hart who held the role for about eight years.
