Carlsberg Suspends 2020 Guidance; Expands Cost-cutting
Carlsberg said it has decided to suspend guidance for fiscal year 2020 due to the uncertainty caused by the Covid-19 pandemic. The company said it has expanded its cost-cutting measures to protect the continued financial health of its business.
Bild von Engin_Akyurt auf Pixabay
The company is taking additional measures to reduce costs, mainly targeting specific cost groups, such as consultants, training, facilities, technology, travel and entertainment.
In addition, the company has implemented hiring restrictions and is looking to reduce marketing and promotional spend where this can achieve short-term savings without impacting the long-term health of brands.
The company anticipates lower on-trade investments and lower investments in returnable glass bottles. It sees a risk of a weaker working capital this year compared with achievements in recent years. Some customers will be subject to financial distress and, consequently, there is a risk of higher losses on debtors. (dpa)
Other news from the department business & finance
