KUALA LUMPUR (November 11): Carlsberg Brewery Malaysia Bhd (Carlsberg Malaysia) net profit for the third quarter ended September 30, 2022 (3QFY22) nearly tripled to RM76.39 million from RM25.98 million at the same period last year, contributed by higher contributions from the Malaysian and Singaporean operations, but they were partly offset by a single prosperity tax.
Earnings per share climbed to 24.98 sen from 8.5 sen previously, the beverage company’s Bursa Malaysia filing showed on Friday (November 11th).
Quarterly revenue increased by 63.65% to RM571.63 million from RM349.29 million in the same period a year ago.
Revenue from the Malaysian operation jumped 94.4% to RM421.7 million, driven by volume and value growth following the lifting of all Covid-19 restrictions and an effective pricing adjustment in July.
Meanwhile, the Singapore operation generated revenue of RM149.9 million, an increase of 13.3% thanks to the easing of Covid-19 restrictions and the lifting of travel restrictions .
The group declared a third interim dividend of 19 sen in the quarter under review, payable on December 9.
For the cumulative nine months ended September 30, 2022, Carlsberg Malaysia’s net profit nearly doubled from RM129.57 million to RM256.93 million as revenue increased by 46.26% to RM1.8 billion vs. RM1.23 billion.
Looking ahead, Carlsberg Malaysia will continue with its dividend assessment approach after considering the group’s performance, capital expenditure and business needs, and the overall business environment.
According to a separate statement, Carlsberg Malaysia Managing Director Stefano Clini expects the outlook to remain challenging, given global inflationary pressures, supply chain disruptions and further cost pressures for the band.
In addition, it faces the impact of a one-time prosperity tax, which will continue to affect earnings in the final quarter of the year.
“We welcome the government’s decision not to increase excise duty on beer in the recently tabled National Budget 2023. This, coupled with stricter enforcement, will further curb the growth of illicit beer and bodes well for the government and the legitimate beer industry.
“As we remain committed to executing on the final year of our SAIL’22 priorities, we will continue to remain disciplined in cost optimization initiatives to realize efficiencies, while continuing to reinvest in our brands to fuel the growth,” added Clini.
Carlsberg Malaysia’s share price ended Friday 30 sen or 1.3% higher at RM23.40, bringing the group to a market capitalization of RM7.15 billion.