Molson Coors has reported a 17.4% increase in net sales in the second quarter of its financial year, in what chief executive Gavin Hattersley said was the highest top-line growth "of any quarter in over a decade".
Growth at constant currency was 13.7%, with the group saying that its improved performance was primarily due to higher financial volumes, with Europe seeing volumes rise 17.8% and North America growing by 1.8%.
Net sales revenue per hectolitre was up 5.0% on a brand volume basis, which the group attributed to a positive mix in North America and Europe.
Molson Coors CEO Confident
“This quarter represents the best results we have had since implementing our revitalisation plan nearly two years ago," Hattersley commented.
"We’ve reached the point where the investments, partnerships and product launches that were byproducts of the revitalisation plan are now bearing results, and we plan to put our foot even more firmly on the gas pedal as we drive towards sustainable top- and bottom-line growth for this business.”
Financial volumes were boosted by 'improving levels of on-premise re-openings', the group said, higher above premium and core brand volumes and favourable shipment timing in the US.
In its Europe business specifically, net sales were up 69.5%, or 52.5% on a constant currency basis, driven by higher volumes and the opening of the on-trade sector during the quarter.
The group said that it is continuing to invest in its production infrastructure, announcing a new hard seltzer canning line in the UK, and investments to quadruple its production of hard seltzer in Canada.
'Premiumising' The Portfolio
“We are proud of our second quarter operating performance, which underscores our progress in premiumising our product portfolio," commented Tracey Joubert, chief financial officer.
"Our work under the revitalisation plan coupled with our improved financial flexibility has enabled us to invest in our business, continue to de-lever our balance sheet and to reinstate a dividend, while reaffirming our financial guidance for 2021.”
Molson Coors recently announced that its cannabis joint venture Truss Beverage Co launched a range of cannabis-infused beverages in Canada. Elsewhere, the group has also invested in its portfolio of non-alcoholic drinks.