Molson Coors reports 4.2% sales growth in H1 2024 

USA – Molson Coors Beverage Company has reported a 4.2 percent uptick in net sales on a constant currency basis for the first half of 2024, ending June 30. 

This growth was driven by favorable pricing and improved U.S. shipment timing, despite a decrease in contract brewing volumes.  

However, for the second quarter, net sales fell slightly by 0.4 percent to US$3.25 billion due to lower financial volumes and adverse foreign currency effects, partially mitigated by favorable pricing and sales mix. 

The company’s underlying income before income taxes increased by 5.2 percent in constant currency.  

This increase was attributed to higher net pricing, a favorable sales mix, and cost-saving initiatives, although it was partially offset by decreased financial volumes and inflationary pressures on materials and manufacturing costs. 

Regionally, the EMEA region (Europe, Middle East, and Africa) and Asia-Pacific (APAC) regions experienced a 2 percent increase in volumes during the second quarter.  

In contrast, brand volumes in the Americas fell by 7.3 percent, primarily due to reduced sales of premium brands.  

Gavin Hattersley, President and CEO of Molson Coors said, “We are confident in our strategy, the trajectory of our total business, and in our short and long-term growth objectives.  

We’ve just delivered another quarter of bottom-line growth and strong cash flow, and the highly cash-generative nature of our business has enabled us to continue investing in our brands and our capabilities to support our progress against our strategic initiatives.” 

He added, “We are a much different company today than we were four years ago and we are certainly stronger than we were just 16 months ago.” 

Chief Financial Officer Tracey Joubert noted that the company had accelerated its share repurchase program during the second quarter, viewing its stock as a valuable investment opportunity.  

Since initiating a US$2 billion share repurchase program last fall, Molson Coors has completed approximately 26 percent of the plan within the first three quarters. 

In the EMEA and APAC regions, Molson Coors’ above-premium portfolio accounted for over 50 percent of the division’s net brand revenue for the 12 months ending June 30. 

This was largely driven by the success of Madrí Excepcional, which saw double-digit growth in the second quarter and became the No. 3 lager in the U.K. on-premise market by value.  

The company’s above-premium portfolio has increased by more than 10 percentage points since 2019. 

Looking ahead, Molson Coors expects a low single-digit increase in net sales and a mid single-digit increase in underlying income before income taxes for the full year 2024 compared to 2023, on a constant currency basis.