©Molson Coors Beverage Company
Molson Coors Beverage Company has reported a 0.6% decline in its second-quarter net sales, as consumers curb spending on beer due to inflation.
Meanwhile, the drinks giant posted a 2.2% net sales increase in constant currency, with positive net pricing and a favourable brand and channel mix more than offsetting lower financial volumes.
The company – which owns brands such as Miller Lite and Carling beer – reported an 87.8% decrease in net income to $47.3 million.
Brand volumes decreased 1.8%, primarily due to a 2.2% decline in the Americas segment as a result of “softer” industry performance and the impact of the Québec labour strike. The company also saw a 0.7% decline in EMEA&APAC due to the impact of the Russia-Ukraine conflict.
Molson Coors expects to achieve full-year targets for net sales and other financial metrics, although it cites continued cost inflation and the ongoing coronavirus pandemic as factors that could affect its financial performance.
Molson Coors CEO, Gavin Hattersley, said: “After growing the top line for the first time in a decade last year, we have now generated net sales growth for five straight quarters for the first time in over a decade on a constant currency basis. On an aggregate basis, we outpaced the industry in our three largest markets and continued to grow the top line globally in the quarter.”
Hattersley continued: “We believe we have the portfolio to compete and win across all segments and a strong backstop in challenging economic times. This is our revitalisation plan at work, and I am incredibly proud of our teams around the world who are working to deliver these results.”
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