Carlsberg A/S — Earnings Release 2011

Feb 20, 2012

Solid performance in NW Europe and Asia; changes implemented in Russia

• In 2011, Carlsberg achieved solid results in Northern & Western Europe
and continued our strong performance in Asia. In Northern & Western Europe, our
performance was driven by efficiency improvements and market share gains, while
in Asia it was driven by growth and market share gains. Our performance in
Eastern Europe was impacted by the Russian beer market decline and our Russian
market share loss, which was caused by a high level of promotions and price
activations by competitors. Group results were in line with our expectations
announced in August.

• The overall Northern & Western Europe beer market was flat in 2011. The
Russian market declined by an estimated 3% and was negatively impacted by high
inflation on basic food items and the substantial beer price increases
introduced over the last two years. Most Asian markets continued to grow at
high single-digit percentages.

• Price/mix was +5% for beer with a particularly strong contribution from
Eastern Europe and Asia, reflecting the Group's ambition to drive value in the
beer category by balancing our focus on volume and value share growth. The
commercial activities included several product launches, a revitalisation of
certain existing brands and an ongoing roll-out of value management tools.

• An important commercial project in 2011 was the repositioning of the
Carlsberg brand across more than 150 markets. The Carlsberg brand grew in
volume by an encouraging 7% in premium markets.

• Group beer volumes grew by 4% to 118.7m hl with 3% organic growth. All
regions reported organic volume growth. In Q4, Group beer volumes grew
organically by 8%, positively impacted by stock building by Russian
distributors.

• Net revenue increased by 6% to DKK 63.6bn with 6% organic growth. Q4 net
revenue grew by 11% to DKK 14.9bn with 11% organic growth.

• We are continuing to plan and implement new and more efficient ways of
working across the Carlsberg Group such as harmonising SKUs; embedding the
Business Standardisation Programme (BSP) into the organisation; and taking the
first steps towards establishing a fully integrated supply chain.

• In 2011, higher input costs, higher logistics costs and a higher level of
sales and marketing investments, particularly in Eastern Europe and Asia,
resulted in an operating profit of DKK 9,816m with a 4% organic decline. Q4
operating profit grew strongly by 67% to DKK 1,834m.

• Net profit was DKK 5,149m.

• Free cash flow was DKK 3.9bn. Trading working capital to net revenue was
1.9% compared to 2.6% in 2010. Net interest-bearing debt was DKK 32.5bn,
impacted by acquisitions, share buy-back and currency impact.

• During the year, the Group continued to increase ownership in its
companies across the regions, including companies in Vietnam, Laos, and China.

• For 2011, the Company proposes a 10% increase in dividend per share to
DKK 5.50. Notwithstanding the slight decline in earnings per share (in reported
terms), the Company has demonstrated strong cash flow generation in the past
three years and has reduced the leverage and increased the interest cover.
Subsequently, the Company's credit rating has improved over the last years and
is currently "BBB stable outlook/Baa2 stable outlook".

• Based on an assumed EUR/RUB rate of 43.3 and a negative volume and
earnings impact in 2012 from destocking by distributors in Russia in Q1 2012,
for 2012 the Carlsberg Group expects:

• Operating profit before special items at the level of 2011 (higher at the
2011 average EUR/RUB rate)

• Slightly growing adjusted net profit [1]

• The Carlsberg Group intends to make a voluntary offer for the remaining
outstanding shares in its Russian subsidiary, Baltika. We will take the
necessary steps to arrange for a delisting of Baltika as soon as possible. Full
ownership of Baltika will give the Carlsberg Group greater operational
flexibility. When completed, the transaction is expected to be immediately
earnings-enhancing.

Commenting on the results, CEO Jørgen Buhl Rasmussen says: “While 2011 was a
challenging year with headwinds from rising input costs and a challenging
Russian market, our Northern & Western European and Asian regions continued to
perform well, both commercially and financially. Throughout the year, we
maintained our focus on profitable development by balancing volume and value
share, which led to share growth in both volume and value in Northern & Western
Europe and Asia, but in the case of Russia resulted in market share loss due to
a high level of promotional activities from competitors.

In our planning for 2012, we're investing to grow market share and continuing
the implementation of efficiency improvements. Strong prioritisation on the
most important activities will be a key driver for how we approach businesses
in what we expect to be a challenging environment in Northern & Western Europe
in 2012. In Russia, the steps we've taken to strengthen the business will begin
to bear fruit in 2012. At the same time we'll continue to explore acquisition
opportunities in growth markets.”

Carlsberg will present the financial statements at a conference call for
analysts and investors today at 9.00 am CET (8.00 am GMT). The conference call
will refer to a slide deck, which will be available beforehand at
www.carlsberggroup.com.
Contacts
Investor Relations: Peter Kondrup, +45 3327 1221
Media Relations: Jens Bekke, +45 3327 1412
Ben Morton, +45 3327 1417

[1] Adjusted net profit 2011 of DKK 5,203m equals 2011 reported net profit
excluding special items after tax

Read the full announcement on attachment or on www.carlsberggroup.com.