MillerCoors has reported lower third quarter underlying net income but higher net revenue per barrel.
The company said that underlying net income declined 8.6% to $344.4m in the quarter versus the same period in the prior year, driven by lower volume and increased marketing investment, partially offset by lower cost of sales, positive sales mix and net pricing growth.
For the second consecutive quarter, Coors Light and Miller Lite both gained market share of the Premium Light segment, with Miller Lite delivering volume growth. Combined, Coors Light and Miller Lite delivered their best quarterly performance in three years.
MillerCoors chief executive Gavin Hattersley said: “We have a lot of work ahead of us to address our economy segment performance, but all other segments across our portfolio are in good shape as we close out the year. Net income was down this quarter due to lower volume, partially due to bringing distributor inventories down as anticipated coming out of peak-selling season, and increased media investments across our brands.”
Molson Coors Brewing is currently believed to be negotiating to buy the part of MillerCoors that it doesn’t already own.
MillerCoors is a joint venture of SABMiller and Molson Coors, with the former SABMiller owing 52%.
The sale of the MillerCoors stake is seen as key to Anheuser-Busch InBev winning regulatory approval for its £68bn acquisition of SABMiller.
