< Back to News

Carlsberg Doubles Profit Growth Forecast to 40% After Beating Estimates

Carlsberg A/S, the biggest brewer in Russia, raised its full-year forecast as the effect of a stronger ruble and an improvement in the Russian market led to earnings that beat analyst estimates.

Carlsberg now anticipates its 2010 operating profit to be about 10 billion kroner ($1.7 billion), with net profit growth of 40 percent, it said in a statement today. The Copenhagen- based brewer had previously forecast operating profit “in line” with 2009 and net profit growth of about 20 percent.

The maker of Tuborg and Baltika now expects a high single- digit percentage decline for the Russian market for 2010, compared with a previous forecast of a “low double-digit percentage” fall after a 200 percent excise-tax rise imposed by the Russian government led to lower beer sales. Carlsberg controls about 40 percent of the market in Russia.

Second-quarter profit rose to 2.63 billion kroner from 1.94 billion kroner a year earlier, the company said today in a statement on its website. That beat the 2.05 billion-kroner average estimate of 14 analysts compiled by Bloomberg.

Shares of Carlsberg, the world’s fourth-largest beermaker, have advanced 30 percent this year in Copenhagen trading. Larger rivals Anheuser-Busch InBev NV and Heineken NV have advanced 15 percent and 4 percent, respectively.