Carlsberg Prospects Stunted by Shrinking Russian Beer Market

  • Russian consumption hit by ban on large plastic beer bottles
  • Danish brewer got a sixth of profit from that market in 2016

Carlsberg CEO Gets Realistic on Shrinking Russian Market

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Carlsberg A/S warned the Russian beer market will shrink at least 5 percent this year, stunting the Tuborg maker’s growth prospects as a ban on large bottles takes hold.

The market, which was the source of a sixth of last year’s operating profit, is declining after Russia prohibited selling beer in 1.5 liter plastic bottles in January, Chief Executive Officer Cees ’t Hart said on a call with reporters Wednesday. The stock fell as much as 3.8 percent in Copenhagen, the steepest intraday decline in almost six months, even as Carlsberg forecast higher earnings.