CARLSBERG BREWERY MALAYSIA BERHAD GROUP (CARLSBERG MALAYSIA GROUP)
CARLSBERG MALAYSIA Q3 PAT IMPROVED BY 8.4%

SHAH ALAM, November 30, 2015 – Carlsberg Malaysia Group reported an increase of 8.4% in profit after tax to RM63.7 million for Quarter 3 compared to RM58.8 million in same period last year. The Group’s operating profit for the same period grew by 7% to RM78.2 million compared with RM73.1 million year-on-year. This was due to effective sales strategies, prudent cost management as well as higher sales contribution from the Singapore operations.

Revenue for the quarter declined marginally by 0.9% to RM405.7 million compared to the same quarter last year. Adjusting for the revenue impact of the Luen Heng F&B Sdn. Bhd. (LHFB) divestment, underlying revenue grew by 4.5% for the quarter.

Group’s profit after tax for the nine months ended 30 September 2015 increased by 2.9% to RM157.1 million compared to RM152.7 million in the same period last year. After accounting for the impairment loss of RM12.61 million from the LHFB divestment, the Group recorded a lower profit after tax of RM144.5 million, a 5.3% decline compared to the corresponding period. This was achieved on the back of RM1.24 billion in revenue, a 2.2% increase from RM1.21 billion in the same period last year.

Earnings per share for the quarter was 20.44 sen.

A single tier interim dividend of 5 sen per ordinary share of 50 sen for the financial year ended 31 December 2015 was paid on 9 October 2015.

Carlsberg Malaysia’s Managing Director, Henrik Juel Andersen said, “The Group’s performance continued to be impacted by the prolonged weak Malaysian consumer sentiment, GST impact and lower purchasing power on discretionary items as well as the Ringgit depreciation affecting our cost base. Given the current economic landscape in Malaysia, our focus was on revenue management as well as cost control. Furthermore, the later timing of the Malaysian National Budget 2016 caused trade stocking up in October this year compared to September last year. With this in mind, we are pleased to deliver a set of commendable results”.

The Singapore operations continued to deliver positive performance with higher sales volume, effective cost management as well as additional revenue and profit contribution from the Maybev Pte. Ltd. acquisition”.

The brewer’s key brands maintained their stellar performance on both sides of the causeway. The recently launched “If Carlsberg did…” advertising campaign has been well accepted by consumers in Malaysia and Singapore; and has continued to strengthen Carlsberg’s brand equity and boosted consumption. Our premium brands, Kronenbourg 1664, Somersby cider and Asahi Super Dry also continued to maintain positive sales in both markets.

“In the current soft consumer environment, we are grateful for the Malaysian Government’s decision not to increase the excise taxes on beer during the recent National Budget announcement,” Andersen commented.

“We hope that the year-end festive season will spur consumption. We will continue to invest in our marketing activities, customer incentives and talents to further build our business. Through these initiatives, we are committed to delivering a satisfactory performance for our shareholders. ” Andersen added.