Carlsberg reports robust third-quarter revenue growth from alcohol-free drinks despite weakness in China

Carlsberg said Tuesday, November 3, that it delivered robust revenue growth in the third quarter, helped by higher sales in alcohol-free drinks and soft drinks that offset weaker conditions in China.

In its trading statement, the brewer said organic volumes rose 0.3% in Western Europe and 7.5% in Central and Eastern Europe and India. The company also said volumes for the Carlsberg brand increased 3%, while Tuborg volumes were flat.

The update pointed to a business mix that is becoming more important for major brewers as growth varies sharply by market. Carlsberg’s results suggest that alcohol-free beer and other non-beer beverages can provide support when demand in some traditional beer markets is under pressure. That trend could carry broader weight across the drinks industry as large groups seek more stable growth through wider portfolios.

Carlsberg maintained its full-year outlook and said it still expects organic operating profit growth of 4%-6% based on its 2025 operating profit of DKK13,686 million. The company did not change that guidance despite what it described as a challenging trading environment in China.

Chief executive Jacob Aarup-Andersen said the third-quarter performance reflected good momentum in many markets and the resilience of what he called Carlsberg’s multi-beverage portfolio. He said that portfolio more than compensated for the difficulties in China.

The company also said it expanded its strategic partnership with PepsiCo into Azerbaijan, Armenia and Georgia. Carlsberg said the move gives it a stronger platform to develop a multi-beverage business across that region, adding to a strategy that goes beyond traditional beer sales.

Carlsberg said it also expects its joint venture with Sapporo in Southeast Asia to be completed by the end of the year. In addition, the company said it is continuing work on a possible initial public offering of its Indian business.

The figures highlight the stronger role of India within Carlsberg’s current growth profile. The company grouped India with Central and Eastern Europe in reporting 7.5% organic volume growth for that region, making it one of the clearest areas of expansion in the quarter. That stands in contrast to China, where the company said trading remained difficult.

For investors and competitors, the update offers a fresh sign of how large brewers are adapting to slower or more volatile beer demand in some markets. A broader product range, including alcohol-free beer and soft drinks, is increasingly becoming part of the core earnings story rather than a side business. Carlsberg’s decision to keep its profit outlook unchanged indicates that management believes those categories, together with growth in Europe and India, are strong enough to support the business through uneven market conditions.