Interim Report for 1 January - 30 June 2010

August 26, 2010

Company Announcement No 20/2010			
26 August 2010

Performance better than expected and upgrading of expectations

Royal Unibrew continued the positive earnings trend in Q2. Operating profit
(EBIT before special items) in-creased in H1 2010 by DKK 65 million to DKK 152
million compared to DKK 87 million in 2009, which is above expectations. Both
EBIT and EBIT margin increased in all group segments compared to H1 2009. Free
cash flow in H1 2010 was DKK 168 million above the 2009 figure, and net
interest-bearing debt was reduced by DKK 406 million - DKK 187 million of which
was contributed by the sale of the Caribbean breweries in February 2010. Due to
the strong performance in H1 2010 and expectations for the rest of the year,
the outlook for 2010 are upgraded. Net revenue is now expected to be at the
level of DKK 3.7-3.85 billion and EBITDA is expected to be at the level of DKK
575-625 million, which is DKK 100 million above the expectation previ-ously
announced. 

”We are still seeing volatility and keen competition in all markets. We are
therefore pleased to have continued the positive trend in the Group's results
in consequence of enhanced marketing efforts, new product launches, continued
and persistent focus on strict efficiency management as well as competent and
dedicated employees.  Based on this positive trend, we are now upgrading our
expectations for both revenue and profit for 2010. This brings us close to
realising our long-term financial objectives, and we have initiated a process
with a view to determining strategic main priorities for 2011 - within the
framework of the strategy presented at the end of 2009 - and updating the
long-term financial objectives. The output from this process will be presented
when we present our Q3 Report 2010” says Henrik Brandt, CEO. 

HIGHLIGHTS 
• Generally market shares were won on branded beer as well as soft and malt
drinks 
• Net revenue declined by just below 2% to DKK 1,882 million in H1. Adjusted
for the divestment of brewer-ies, organic net revenue growth of 2% was
achieved. 
• EBITDA (before special items) increased by DKK 75 million (45%) to DKK 254
million. 
• Operating profit (EBIT before special items) increased by DKK 65 million to
DKK 152 million. 
• Profit before tax amounted to DKK 105 million compared to DKK 23 million in
H1 2009. 
• Free cash flow amounted to DKK 217 million - DKK 168 above the 2009 figure.
• Net interest-bearing debt was reduced in H1 2010 by DKK 406 million to some
DKK 1 billion. 
• New long-term funding structure established on attractive terms

OUTLOOK
Revenue and earnings developed better than expected in H1 2010. Based on this,
net revenue for 2010 is now ex-pected to amount to DKK 3.7-3.85 billion
(previous expectation of DKK 3.4-3.6 billion). EBITDA is expected to be at the
level of DKK 575-625 million (previous expectation of DKK 475-525 million), and
operating profit (EBIT be-fore special items) is expected to be at the level of
DKK 375-425 million (previous expectation of DKK 275-325 million). Net
financials are estimated at an expense of some DKK 65 million (previous
expectation of some DKK 70 million). Profit before tax for 2010 is expected to
be at the level of 310-360 million (previous expectation of DKK 205-255
million). Net interest-bearing debt at the end of 2010 is expected to amount to
some DKK 900 mil-lion (previous expectation of some DKK 1 billion)
corresponding to 1.4 - 1.6 times EBITDA (previous expectation of 1.9-2.1 times
EBITDA). 

For further information on this Announcement:
Henrik Brandt, CEO, tel + 45 56 77 15 13
It will be possible for investors and analysts to follow Royal Unibrew's
presentation of the Interim Report on Thursday, 26 August 2010, at 9 am by
webcast. Please register at the Royal Unibrew website www.royalunibrew.com.

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