OVERALL VOLUME GROWTH, PARTICULARLY IN ASIA

Organic volume growth +2.1%

• Organic volume development in Western Europe -1.0%, Asia +4.9% and Central & Eastern Europe +0.9%.
• International premium brand volume development: Tuborg +1%, Carlsberg +4%, 1664 Blanc +10%, Brooklyn +51%, Grimbergen +6% and Somersby -8%.
• Total premium category +2%.
• Alcohol-free brews -6%.

VERY STRONG REVENUE/HL ACROSS REGIONS

Organic revenue growth +14.2%

• Revenue/hl +12%, with strong growth in all three regions, particularly in Central & Eastern Europe.
• Revenue/hl improvement driven by a positive channel mix following the on-trade recovery after COVID-19, price increases and a positive country mix.
• Organic revenue growth in Western Europe +11.5%, Asia +12.4% and Central & Eastern Europe +29.6%.
• Reported revenue growth +8% to DKK 16.4bn.

SUPPORTING SHAREHOLDER RETURNS

New quarterly share buy-back programme

• A quarterly share buy-back programme, amounting to DKK 1.0bn, will be launched today.

NARROWING 2023 EARNINGS GUIDANCE RANGE

Some of the uncertainties underlying the guidance provided on 7 February have lessened. Although we saw good Q1 performance, some uncertainties remain:

• During Q1, we were able to implement price increases in order to mitigate significantly higher costs. The impact on volumes and mix from the higher beer prices and continued high inflation in general remains uncertain, particularly in Europe.
• The impact of the war on our business in Ukraine is largely unchanged; however, the environment remains unpredictable.
• The uncertainty related to the COVID-19 recovery in China has diminished.

Consequently, we narrow the earnings guidance range for 2023:

• Organic growth in operating profit of -2% to +5% (previously -5% to +5%).
• Translation impact on operating profit of around DKK -800m, based on the spot rates at 26 April (previously around DKK -550m).

CEO Cees ’t Hart says:

“The first quarter of the year showed a strong improvement in revenue per hectolitre, covering the significant increase in our cost base.

“Although uncertainties for the year remain, particularly in Europe, we’re pleased that we’ve been able to narrow the earnings guidance range and that we’re initiating a new DKK 1bn share buyback today in light of our strong balance sheet. We remain committed to our SAIL’27 strategy and will continue to invest in our long-term ambitions, while responding to short-term challenges.”

Get the 2023 Q1 highlights from our CFO Ulrica Fearn: