H1 2020 Financial Statement

Resilience, cost control and cash discipline reducing COVID-19 impact.


• Organic revenue -11.6% (Q2: -14.6%); reported -12.6% to DKK 28,830m (Q2: -16.9%).
• Price/mix -4% (Q2: -7%); negative impact in all three regions.
• Total organic volume -7.7% (Q2: -7.8%).
• Tuborg volume -19%, Carlsberg -13%, 1664 Blanc +10%, Grimbergen -4% and Somersby -2%.
• Craft & speciality volume -2%, alcohol-free brews -2%.
• Organic operating profit -8.9%; reported -10.8% to DKK 4,615m.
• Operating margin improvement +30bp to 16.0%.
• Adjusted net profit -0.4% to DKK 2,872m; reported net profit -7.3% to DKK 2,855m.
• Adjusted earnings per share (excluding treasury shares) +2.8% to DKK 19.5.
• Free cash flow, including the acquisition of brand rights, DKK 3,141m (2019: DKK 5,156m).
• Net debt/EBITDA 1.51x (year-end 2019: 1.25x).
• ROIC -20bp to 8.5%; excluding goodwill -40bp to 21.7%.
• The first tranche of the share buy-back, amounting to DKK 2.5bn, was concluded on 7 August at an average share price of DKK 863. Due to the continued uncertainty related to COVID-19, the pending Marston’s transaction, the acquisition of brand rights and possible other inorganic opportunities, it has been decided not to initiate the second tranche of the share buy-back.


On 2 April, the Group suspended its outlook for 2020 due to the significantly increased uncertainty concerning the impact of the COVID-19 pandemic on business performance. Although the situation remains volatile and uncertain in many of our markets, the Group today issues new full-year guidance, as we are now well into the peak summer season. Based on H1, July figures and the current COVID-19 situation in our markets, the Group now expects to deliver:

• An organic operating profit decline of 10-15%.

It must be emphasised that the earnings expectation is significantly more uncertain than usual, as the development of the pandemic, currently unknown government actions, consumer reactions and the macroeconomic development may have significant implications for business performance in the remainder of the year. 

CEO Cees ’t Hart says: “The COVID-19 pandemic is impacting lives worldwide. During these difficult times, our top priority remains the health and well-being of our employees, while at the same time taking the required actions to protect the health of our business.

“All our markets have to a greater or lesser extent been impacted by the COVID-19 pandemic, but the organisation and our people have shown tremendous resilience and flexibility, allowing us to stabilise the business, help society and support our customers. To mitigate the impact of weaker volumes and mix, we’ve reinforced our focus on costs, cash and liquidity.

“Recognising that we’re faced with a new market reality, including changed consumer preferences and a reduced level of on-trade activity, we’re taking measures to adapt our business accordingly.”