Drinks manufacturer Molson Coors has reported better-than-expected results for its fiscal third quarter.
The group reported a net profit of $16.6 million for the three months ending September 30.
Sales fell 13 per cent to $1.02 billion, but increased by 0.7 per cent on a constant-currency basis.
The group said it saw more demand in the US and European markets for its higher-margin drinks products.
Molson Coors president and chief executive officer Mark Hunter said, "Underlying earnings were lower due to unfavourable foreign currency, increased brand investments and the termination of our Miller brands agreement in Canada and the Modelo brands and Heineken brewing contracts in the UK earlier this year."
The group increased gross margins on a consolidated basis, driven by the US and Europe, he said.
"We invested more in our brands in all of our businesses except international, where lower marketing was primarily due to the substantial restructuring of our China business this year. In the quarter, we continued to transform our portfolio toward above-premium, craft and cider; we expanded the depth and reach of our international brands in fast-growing markets; and we increased our commercial capability. We also continued to drive meaningful cash generation and disciplined cash and capital allocation."
In other developments, Molson Coors has appointed David Heede as its interim CFO, effective from November 16.
Current CFO Gavin Hatter is taking up the position of chief executive officer of MillerCoors.
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