KUALA LUMPUR (Aug 14): Carlsberg Brewery Malaysia Bhd (KL:CARLSBG) which posted just a 1.2% increase in net profit for the second quarter ended June 30, 2026 (2QFY2026), said it is seeing early signs of the increase in excise duty impacting consumer demand and spending.
As of June, it had been seven months since the government raised excise duty on alcoholic beverages by 10% on Nov 1, 2025.
Net profit for the three months ended June 30, 2026 (2QFY2026) stood at RM82.92 million as compared with RM81.93 million a year earlier, while revenue rose 5% to RM514.89 million from RM490.17 million, according to a bourse filing on Friday. The group’s earnings per share for 2QFY2026 were 27.12 sen compared with 26.80 sen in 2QFY2025.
The group declared a second interim dividend of 21 sen per share, to be paid on Nov 12.
Malaysian operations logged a 11.8% year-on-year (y-o-y) increase in operating profit to RM90.2 million. However, in Singapore profit from operations fell by 47.3% to RM7.7 million compared to the quarter the year before on lower export sales, strengthening of the ringgit against the Singapore dollar and the absence of prior year trade offer adjustments.
“Consumer sentiment and discretionary spending remain cautious in the second quarter. Additionally, we are seeing early signs of the 10% increase in excise duty imposed last November, impacting consumer demand and spending.
Nevertheless, we are encouraged by our first-half performance, which was supported by stronger off-trade sales driven by the later CNY timing,” managing director Stefano Clini said in a statement.
For the six months ended June 30, 2026 (6MFY2026), Carlsberg’s net profit was up 3.1% y-o-y to RM181.86 million, as revenue increased 5.9% to RM1.22 billion. Clini said the group is encouraged by its first-half performance amid cautious consumer sentiment and discretionary spending.
Sentiment is expected to remain cautious amid escalating cost-of-living pressures and moderating labour market conditions, which could weigh on discretionary spending in the second half of the year, Clini noted.
“Looking ahead, the group expects the operating environment to remain challenging amid volatile energy and input costs, geopolitical developments and broader macroeconomic uncertainty,” he said.
“We will continue to monitor external developments closely, including potential supply chain risks arising from Middle East tensions, while staying focused on disciplined value management, cost optimisation and prudent resource allocation,” he added.
Shares of Carlsberg ended 10 sen or 0.7% higher at RM14.46, valuing the group at RM4.42 billion.