INTERIM REPORT Q1 2012

April 30, 2012 at 8:58 AM EDT

Reasonable start to 2012 in line with outlook

 

Earnings before interest and tax (EBIT) for Q1 2012 amounted to DKK 56 million — an increase of DKK 16 million from last year. The earnings improvement reflects a revenue increase, continued high efficiency and a cost reduction. Sales volumes — measured in organic terms — increased by 4% in Q1, and net revenue increased by 8%, primarily due to earlier Easter sales than last year and a certain level of inventory build-up with distributors. Organic growth has been recorded in all segments, and the market shares for Royal Unibrew's branded products were generally maintained or increased. In Q1 a positive free cash flow of DKK 46 million was achieved compared to a negative cash flow of DKK 28 million last year, and DKK 47 million has been distributed to shareholders through share buy-backs. Royal Unibrew expects to initiate share buy-backs of DKK 125 million after today's Annual General Meeting. The outlook for 2012 is maintained.

 

 

"In accordance with our expectations, 2012 started off reasonably, and we have recorded increases in revenue as well as profit. The primary reason for the improvement is that Easter was earlier this year than last year combined with a certain level of inventory build-up. Q1 is a low quarter as it covers the winter months and therefore not indicative of developments in the remaining part of 2012. Q1 provides us with a good basis for continuing the realisation of our strategic main priorities for 2012 — ie continuing the development of our commercial activities to defend and reinforce our market positions and continuing our targeted efforts to achieve continuous efficiency enhancement ", says Henrik Brandt, CEO.

 

 

HIGHLIGHTS

  • Royal Unibrew has generally maintained or increased its market shares for branded beer as well as soft drinks and malt beverages.
  • Net revenue for Q1 increased by 1% over the same period of 2011. Adjusted for the divestment of the Polish activities in March 2011, net revenue increased by 8%.
  • EBITDA for Q1 2012 increased by DKK 11 million to DKK 87 million.
  • Earnings before interest and tax (EBIT) increased by DKK 16 million to DKK 56 million.
  • Earnings before tax amounted to DKK 46 million compared to DKK 21 million in 2011.
  • Free cash flow amounted to a positive DKK 46 million compared to a negative DKK 28 million in 2011.

 

OUTLOOK

The previously announced outlook is maintained as follows:

  • Net revenue: DKK 3,375-3,500 million
  • EBITDA: DKK 580-630 million
  • EBIT: DKK 450-500 million

 

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 Tuesday, 1 May 2012, at 9 am by audiocast at one of the following dial-in numbers:

Danish participants:   +45 327 147 67
International participants: +44 207 509 5139

US participants:  +1 718 354 1226
 

The presentation may also be followed at Royal Unibrew's website www.royalunibrew.com.